FBM KLCI, tech stocks rally to snap losing streak

KUALA LUMPUR: After a slow start, the benchmark FBM KLCI bounced higher in morning trade as investors sought out bargain counters while the technology sector rallied on improved prospects.

At 12.30pm, Bursa Malaysia's composite index was up 3.79 points to 1,482.97, giving succour to equities pummeled by sharp selling over the last three sessions.

The lower liners were also seen picking up with 483 gainers recorded across the board compared to 385 decliers and 409 unchanged.

The day's trading volume hit 3.49 billion shares traded for a value of RM1.4bil.

Technology counters proved to be the highlight of the day, as the overnight rally in the Nasdaq sparked by Bank of America's ratings upgrade of Apple inc and positive earnings results from TSMC helped to lift the sector.

The Bursa Malaysia Technology Index rose 0.65 points or more than 1% to 63.11, snapping three days of decline.

Gainers included D&O Green Tech up four sen to RM3.49, Globetronic rising six sen to RM1.50, Edaran climbing six sen to RM1.14 and Pentamaster up seven sen to RM4.32.

Meanwhile, blue chips that helped to lift the FBM KLCI included PETRONAS Dagangan up 22 sen to RM20.88, CIMB gaining five sen to RM5.99, Public Bank up three sen to RM4.34, Kuala Lumpur Kepong gaining 16 sen to RM22.46 and Tenaga Nasional rising four sen to RM10.40.

Despite the overall improved trading on Bursa Malaysia, some shares that entered freefall over the last few trading sessions have yet to halt their descent.

The day's top traded counter, Sarawak Consolidated Industries was down 24.5 sen to 29 sen, after retracing slightly higher from its limit down price of 23.5 sen at the open.

Stocks hitting limit down included Rapid Synergy falling RM1.18 to RM2.78, YNH Property dropping 35.5 sen to 85.5 sen, Jentayu Sustainables shedding 30 sen to 50 sen and Silver Ridge losing 30 sen to 54.5 sen.

Artroniq, which was beaten down by investors over the last three sessions, bounced up three sen to 26 sen.

In Asian markets, investors were buoyed by a rally in regional chipmakers.

Japan's Nikkei rose 1.1% to 35,862 and South Korea's Kospi gained 1.1% to 2,466.

In China, the composite index was down 0.5% to 2,832 as the country's economic woes continue to weigh on sentiment, while Hong Kong's Hang Seng slid 0.2% to 15,361.