Rakuten Trade Sdn Bhd vice-president of equity research Thong Pak Leng said key regional indices ended mostly lower following a major sell-off on Wall Street last Friday.
Regionally, Hong Kong’s Hang Seng Index dropped 0.58% to 23,341.61, China’s Shanghai Composite Index slipped 0.18% to 3,373.03, and South Korea’s Kospi shaved 0.35% to 2,645.27.
“Back home, the benchmark index continues to find support around 1,580 and remains in a consolidation phase as trading volumes remain weak.
“Investors are holding back in anticipation of new market catalysts, and we expect this range-bound movement to persist.
“Should market participation improve, the FTSE Bursa Malaysia KLCI (FBM KLCI) may gain the momentum needed for a breakout,” he told Bernama.
Hence, Thong foresees the benchmark index fluctuating between 1,570 and 1,600 this week.
Meanwhile, UOB Kay Hian Wealth Advisors Sdn Bhd head of investment research Sedek Jantan said the sectoral performance was mixed, with consumer stocks leading gains, while oil and gas and construction counters experienced significant drawdowns.
He said Bursa’s construction and technology index underperformed, reflecting heightened selling pressure.
“Investor sentiment deteriorated following the release of higher-than-expected US inflation data, intensifying concerns over a potential stagflation environment in the US.
“A stagflation scenario could suppress consumer demand, exerting downward pressure on Malaysia’s export-driven growth trajectory,” he said.
At 5pm, FBM KLCI fell 6.78 points, or 0.43% to 1,584.25 from Friday’s close of 1,591.03.
The market bellwether opened 4.64 points easier at 1,586.39 and moved between 1,577.95 and 1,586.39 throughout the day.
On the broader market, decliners led gainers 719 to 304, while 459 stocks were unchanged, 871 untraded and 10 suspended.
Turnover declined to 2.69 billion units worth RM2.31 billion from 2.99 billion units worth RM2.63 billion last Friday.
Bursa heavyweights Maybank gave up two sen to RM10.48, Public Bank shed three sen to RM4.47, Tenaga Nasional dropped 34 sen to RM13.64, and IHH Healthcare eased one sen to RM7.25, while CIMB gained two sen to RM8.38.
As for active stocks, Ingenieur Gudang was flat at five sen, MyEG Services slipped three sen to RM1.01, Gamuda decreased 27 sen to RM4.49, and Inari Amertron dipped 11 sen to RM2.24.
On the index board, the FBM Emas Index fell 74.66 points to 11,917.01, the FBMT 100 Index declined 67.82 points to 11,657.41, the FBM Emas Shariah Index tumbled 109.90 points to 11,607.01, the FBM 70 Index plummeted 171.43 points to 17,233.42, and the FBM ACE Index shed 15.29 points to 4,905.69.
By sector, the financial services index slid 11.45 points to 19,306.58, the industrial products and services index eased 3.70 points to 161.35, and the energy index slipped 16.89 points to 768.87, while the plantation index jumped 111.98 points to 7,570.30.
The Main Market volume decreased to 1.37 billion units worth RM2.05 billion from 1.56 billion units worth RM2.37 billion on Friday.
Warrants turnover dwindled to 893.75 million units worth RM114.94 million against 1.01 billion units worth RM99.28 million previously.
The ACE Market volume advanced to 427.80 million units valued at RM152.76 million versus 412.15 million units valued at RM153.71 million last Friday.
Consumer products and services counters accounted for 176.38 million shares traded on the Main Market, industrial products and services (340.37 million), construction (101.12 million), technology (202.14 million), SPAC (nil), financial services (57.93 million), property (154.04 million), plantation (22.55 million), REITs (19.13 million), closed/fund (25,300), energy (130.46 million), healthcare (87.72 million), telecommunications and media (23.29 million), transportation and logistics (20.19 million), utilities (38.65 million), and business trusts (6,400).