Malaysia Stock Market Tipped To Extend Thursday's Losses

(RTTNews) - The Malaysia stock market headed south again on Thursday, one day after ending the four-day losing streak in which it had fallen more than a dozen points or 0.9 percent. The Kuala Lumpur Composite Index now sits just above the 1,440-point plateau although the losses may accelerate on Friday.

The global forecast for the Asian markets is negative as disappointing earnings news and concerns over the outlook for interest rates. The European and U.S. markets were down and the Asian markets figure to open in similar fashion.

The KLCI finished slightly lower on Thursday following mixed performances from the financial shares, property stocks, industrials and telecoms.

For the day, the index eased 1.91 points or 0.13 percent to finish at 1,440.60 after trading between 1,438.80 and 1,445.14.

Among the actives, AMMB Holdings advanced 0.53 percent, while Axiata plunged 2.49 percent, Celcomdigi and Public Bank both rose 0.24 percent, CIMB Group fell 0.18 percent, Dialog Group tanked 0.93 percent, IOI Corporation lost 0.26 percent, Kuala Lumpur Kepong dropped 0.89 percent, Maxis slumped 0.50 percent, MISC sank 0.42 percent, MRDIY plummeted 3.29 percent, Petronas Chemicals shed 0.41 percent, PPB Group tumbled 0.91 percent, RHB Capital collected 0.36 percent, Sime Darby gained 0.44 percent, Sime Darby Plantations added 0.47 percent, Tenaga Nasional perked 0.10 percent, Westports Holdings rallied 1.52 percent and Genting, Genting Malaysia, IHH Healthcare, Petronas Dagangan, Petronas Gas, Maybank, Telekom Malaysia, Press Metal and Hong Leong Bank were unchanged.

The lead from Wall Street is bleak as the major averages opened mixed on Thursday but quickly turned lower and finished at session lows.

The Dow dropped 251.63 points or 0.76 percent to finish at 32,784.30, while the NASDAQ stumbled 225.62 points or 1.76 percent to close at 12,595.61 and the S&O 500 sank 49.54 points or 1.18 percent to end at 4,137.23.

The weakness on Wall Street followed the release of a slew of largely upbeat U.S. economic data, including a Commerce Department report showing GDP soared by more than expected in the third quarter of 2023.

The resilience of the U.S. economy added to recent concerns about the Federal Reserve leaving interest rates higher for longer than investors had hoped.

In other economic news, the Commerce Department said new orders for U.S. manufactured durable goods spiked more than expected in September. Also, the Labor Department said first-time claims for U.S. unemployment benefits edged higher last week.

Oil prices fell to a two-week low on Thursday as diplomatic efforts to stop Israel from a ground invasion of Gaza helped ease concerns about oil supplies. Recent data showing a surge in U.S. crude inventories, and concerns about interest rates also weighed on oil prices. West Texas Intermediate Crude oil futures for December sank $2.18 or 2.6 percent at $83.21 a barrel.