At the same time, UOB Kay Hian Wealth Advisors’ designated portfolio manager and head of wealth research and advisory, Sedek Jantan said besides rising geopolitical tensions, the weak sentiment was exacerbated by a slowing Chinese economy demonstrated by poor data for China’s retail sales and industrial output.
“Investors are currently grappling with two main concerns, which have intensified fear and triggered panic selling.
“The present risk-off atmosphere is weighing on equities, and the FTSE Bursa Malaysia KLCI (FBM KLCI) may continue to consolidate sideways,” he told Bernama.
Meanwhile, Rakuten Trade Sdn Bhd vice-president of equity research Thong Pak Leng said the local bourse was lower in tandem with the heavy selling across the region.
He said key regional indices closed lower on growing fears of the escalating conflict in the Middle East, coupled with the broad sell-off on Wall Street overnight which also impacted investor sentiment.
“Back home, the benchmark index failed to hold its 1,538 support level. Hence, we spot the next crucial support level at around 1,528-1,530.
“Despite the cautious sentiment, we see the sell-off as an opportunity for investors to go bargain hunting for stocks at lower levels,” he said, adding the FBM KLCI is anticipated to trend within the 1,530-1,550 range for the rest of the week.
At 5pm, the FBM KLCI fell 7.53 points, or 0.49%, to 1,535.0 from yesterday’s close of 1,542.53.
The benchmark index, which opened 1.45 points lower at 1,541.08, moved between 1,532.49 and 1,541.59 throughout the trading session.
Market breadth was negative with decliners overwhelming gainers 1,159 to 133, while 275 counters were unchanged, 785 untraded, and 11 others suspended.
Turnover increased to 4.33 billion units worth RM3.05 billion from 4.28 billion units worth RM3.25 billion yesterday.
Among the heavyweights, Maybank lost 7 sen to RM9.58, Public Bank slipped 1 sen to RM4.11, CIMB dropped 10 sen to RM6.48 and Tenaga Nasional dipped 14 sen to RM11.46, while Petronas Chemicals was flat at RM6.80.
As for the actives, TWL Holdings and Velesto Energy inched down by 0.5 sen each to 3 sen and 27 sen, respectively, MRCB slipped 3.5 sen to 65.5 sen, Dagang NeXchange slid 1 sen to 40 sen, while Sapura Energy was flat at 5 sen.
On the index board, the FBM Emas Index fell 85.19 points to 11,515.01, the FBMT 100 Index tumbled 70.08 points to 11,168.98, and the FBM 70 Index dipped 163.05 points to 15,996.8.
The FBM ACE Index shaved off 114.53 points to 4,881.94 and the FBM Emas Shariah Index gave up 60.15 points to 11,696.43.
Sector-wise, the plantation index shed 33.38 points to 7,399.24, the industrial products and services index eased 1.74 points to 182.08, the financial services index sank 160.2 points to 17,008.95, and the energy index slid 16.55 points to 949.94.
The Main Market volume rose to 3.03 billion units valued at RM3.36 billion versus 2.42 billion units valued at RM2.88 billion yesterday.
Warrants turnover increased to 1.14 billion units worth RM128.5 million against 1.12 billion units worth RM121.17 million previously.
The ACE Market volume increased to 744.71 million shares worth RM231.13 million from 723.24 million shares worth RM241.84 million yesterday.
Consumer products and services counters accounted for 292.97 million shares traded on the Main Market, industrial products and services (445.59 million), construction (297.49 million), technology (218.09 million), SPAC (nil), financial services (133.15 million), property (654.85 million), plantation (55.52 million), REITs (12.24 million), closed/fund (37,500), energy (330.19 million), healthcare (41.61 million), telecommunications and media (25.96 million), transportation and logistics (34.84 million), and utilities (77.97 million).