The Malaysia stock market on Tuesday ended the two-day winning streak in which it had advanced more than 20 points or 1.2 percent. The Kuala Lumpur Composite Index now rests just shy of the 1,850-point plateau and it may take further damage on Wednesday.
The global forecast for the Asian is slightly soft, with concerns over U.S. treasury yields tempered by support from crude oil. The European markets were mixed and the U.S. bourses were down and the Asian markets figure to follow the latter lead.
The KLCI finished slightly lower on Tuesday as losses from the industrials were tempered by support from the plantations and a mixed picture from the financial sector.
For the day, the index eased 2.22 points or 0.12 percent to finish at the daily low of 1,848.20 after peaking at 1,860.59. Volume was 4.3 billion shares worth 4.4 billion ringgit. There were 561 decliners and 499 gainers.
Among the actives, YTL Corporation plummeted 6.90 percent, while Astro Malaysia Holdings plunged 6.04 percent, Sime Darby surged 3.70 percent, RHB Capital soared 3.40 percent, Public Bank tumbled 3.23 percent, CIMB Group spiked 3.05 percent, Genting Malaysia jumped 2.86 percent, Genting skidded 2.23 percent, IOI Corporation climbed 1.71 percent, Digi.com advanced 1.52 percent, IHH Healthcare and Petronas Chemicals both dropped 1.15 percent, Telekom Malaysia shed 0.60 percent, Tenaga Nasional lost 0.50 percent, MISC added 0.43 percent and Maybank and Petronas Gas were unchanged.
The lead from Wall Street is negative as stocks moved lower on Tuesday, as profit taking erased gains from previous sessions.
The Dow slumped 193.00 points or 0.78 percent to 24,706.41, the NASDAQ fell 59.69 points or 0.81 percent to 7,351.63 and the S&P 500 slid 18.68 points or 0.68 percent to 2,711.45.
The weakness came when traders reacted to a jump in U.S. treasury yields, with the yield on the benchmark ten-year note surging up to its highest levels since 2011.
In economic news, the Commerce Department said retail sales increased in line with estimates in April. Also, the National Association of Home Builders noted an unexpected improvement in homebuilder confidence in May.
Crude oil futures rose Tuesday, even as U.S. stocks and other commodities melted down. Oil has surged to four-year highs amid speculation that OPEC will continue to cut production. West Texas Intermediate oil for June ended up 35 cents or 0.5 percent to finish at $71.31/bbl.
by P2PNews Staff Writer