Malaysia Stock Market May Extend Tuesday's Losses

(RTTNews) - The Malaysia stock market on Tuesday ended the two-day winning streak in which it had risen almost 8 points or 0.5 percent. The Kuala Lumpur Composite Index now rests just beneath the 1,435-point plateau and the losses may accelerate on Wednesday.

The global forecast for the Asian markets suggests mild consolidation ahead of key inflation data later in the day. The European markets were mixed and the U.S. bourses were slightly lower and the Asian markets figure to open in similar fashion.

The KLCI finished barely lower on Tuesday following mixed performances from the financial shares, plantation stocks and telecoms.

For the day, the index eased 1.11 points or 0.08 percent to finish at 1,432.63 after trading between 1,428.52 and 1,432.75.

Among the actives, Axiata advanced 0.32 percent, while CIMB Group dropped 0.97 percent, Dialog Group retreated 1.33 percent, Digi.com climbed 1.14 percent, Genting declined 1.28 percent, Genting Malaysia skidded 1.09 percent, IHH Healthcare and QL Resources both gained 0.17 percent, INARI plunged 1.70 percent, Kuala Lumpur Kepong added 0.19 percent, Maxis sank 0.69 percent, Maybank eased 0.11 percent, Petronas Chemicals improved 0.42 percent, PPB Group perked 0.12 percent, Press Metal slumped 1.19 percent, Public Bank collected 0.25 percent, RHB Capital fell 0.36 percent, Sime Darby lost 0.47 percent, Sime Darby Plantations tumbled 1.37 percent, Telekom Malaysia jumped 1.38 percent, Tenaga Nasional spiked 1.66 percent and MISC, MRDIY and IOI Corporation were unchanged.

The lead from Wall Street is soft as the major averages opened lower on Tuesday and spent most of the session in the red, finishing with modest losses.

The Dow shed 56.88 points or 0.17 percent to finish at 33,561.81, while the NASDAQ dropped 77.37 points or 0.63 percent to close at 12,179.55 and the S&P 500 sank 18.95 points or 0.46 percent to end at 4,119.17.

The weakness on Wall Street came as traders continued to move money out of relatively risky assets like stocks ahead of the release of key inflation data later today.

The reports on consumer and producer price inflation, which are due to be released on Wednesday and Thursday, respectively, could have a significant impact on the outlook for interest rates.

The weakness on Wall Street may also have reflected concerns about the debt ceiling ahead of a meeting between President Joe Biden and House Speaker Kevin McCarthy, R-Calif. that could result in default if not addressed.

Crude oil prices shook off early weakness to finish higher amid expectations of higher seasonal demand and on the U.S. government's plans to refill the emergency oil reserve. West Texas Intermediate Crude oil futures for June settled at $73.71 a barrel, gaining $0.55 or 0.8 percent.