KUALA LUMPUR (Jan 20): The FBM KLCI edged up at mid-morning on Friday in line with the gains at key regional markets and positive overall sentiment at the US and European markets.
However, trading at the local bourse remained relatively subdued ahead of the extended weekend with the Chinese New Year holidays next Monday and Tuesday.
The FBM KLCI rose 2.27 points to 1,519.08 at 10am, lifted by select blue chips.
Gainers led losers by 256 to 135, while 229 counters traded unchanged. Volume was 442.37 million shares valued at RM164.34 million.
Asian shares extended their gains to fresh two-month highs on Friday as solid euro zone sovereign debt sales and signs of Greece moving closer to a vital debt-swap deal eased concerns over Europe's refinancing capability and boosted risk appetite, according to Reuters.
Upbeat earnings from more US banks and data confirming the US economy stayed on a recovery track also helped underpin sentiment, which has been improving since the start of the year, it said.
At the regional markets, Japan’s Nikkei 225 rose 1.3% to 8,751.79, Hong Kong’s Hang Seng Index added 0.40% to 20,022.30, South Korea’s Kospi was up 0.90% to 1,932.23, Singapore’s Straits rose 0.47% to 2,824.49 and the Shanghai Composite Index edged up 0.16% to 2,299.84.
Taiwan’s Taiex is closed until Jan 30.
BIMB Securities Research in a note Friday said European shares ended higher yesterday backed by solid demand for Spain's and France's bond auctions, and better than expected fourth-quarter earnings from Morgan Stanley and Bank of America.
In the US, stocks finished modestly higher posting a three-day rally, thanks to a better-than-expected jobless claims report and as financials rallied following BofA's earnings report, it said.
“The Dow Jones Index rose 45.03 points to close at 12,623.98.
“Back by the positive news flow and strong rally over in US and Europe, we shall expect a higher trading with immediate resistance 1,530 followed by 1,535 while support at 1,515 level,” it said.
On Bursa Malaysia, United PLANTATION []s was the top gainer at mid-morning and added 40 sen to RM20.50; MPI rose 15 sen to RM3.30, Petronas Dagangan and KLK up 14 sen each to RM17.64 and RM24.92, Dutch Lady and BAT 10 sen each to RM26 and RM49.90, Bonia nine sen to RM2.35, while Lafarge Malayan Cement and Can-One added eight sen each to RM6.81 and RM2.08.
DBE Gurney was the most actively traded counter after it confirmed that it was in talks with a shareholder of CI Holding Bhd which includes a private placement exercise.
The stock fell half a sen to 13 sen with 70.1 million shares done, while its warrants traded unchanged at 7.5 with 37.5 million units done.
Other actives included TMS, DVM, Flonic, Utopia, Fastrak and KHSB.
Decliners included F&N, A-Rank, Harvest Court, Fututec, Supermax and Coastal Contracts.
