Rally May Stall For Malaysia Stock Market

(RTTNews) - The Malaysia stock market has moved higher in five straight sessions, collecting more than 35 points or 2.4 percent along the way. The Kuala Lumpur Composite Index now sits just above the 1,560-point plateau although it's due for consolidation on Tuesday. The global forecast for the Asian markets is soft ahead of key U.S. inflation data. The European markets were mixed and the U.S. bourses were down and the Asian markets also figure to track into the red.

The KLCI finished modestly higher on Monday following gains from the financial shares and industrials and mixed performances from the telecoms and plantation stocks. For the day, the index rose 6.26 points or 0.40 percent to finish at 1,563.24 after trading between 1,554.95 and 1,565.44. Among the actives, 99 Speed Mart Retail dropped 0.83 percent, while AMMB Holdings rose 0.19 percent, Axiata lost 0.38 percent, Celcomdigi stumbled 2.32 percent, CIMB Group and Nestle Malaysia both jumped 1.17 percent, Gamuda improved 0.90 percent, IOI Corporation retreated 1.06 percent, Kuala Lumpur Kepong climbed 1.04 percent, Maxis tumbled 1.71 percent, Maybank collected 0.42 percent, MISC perked 0.13 percent, Petronas Chemicals soared 2.36 percent, Petronas Dagangan gained 0.26 percent, Petronas Gas added 0.43 percent, PPB Group sank 0.77 percent, Press Metal increased 0.74 percent, Public Bank spiked 1.62 percent, RHB Bank and YTL Power both advanced 0.95 percent, Sime Darby shed 0.63 percent, SD Guthrie rallied 1.24 percent, Sunway fell 0.21 percent, Tenaga Nasional slumped 1.01 percent, YTL Corporation surged 2.37 percent and Telekom Malaysia, QL Resources, MRDIY and IHH Healthcare were unchanged.

The lead from Wall Street is negative as the major averages opened mixed on Monday, rallied midday but then slumped in the afternoon and finished under water.

The Dow dropped 200.52 points or 0.45 percent to finish at 43,975.09, while the NASDAQ sank 64.62 points or 0.30 percent to close at 21,385.40 and the S&P 500 fell 16.00 points or 0.25 percent to end at 6,373.45.

The choppy trading on Wall Street came as traders seemed reluctant to make significant moves ahead of the release of several closely watched economic reports in the coming days.

The Labor Department's report on consumer price inflation in the month of July is likely to be in focus later today as the data could impact the outlook for interest rates.

Ahead of the release of the data, CME Group's FedWatch Tool is indicating an 86.5 percent chance the Federal Reserve will lower interest rates by a quarter point next month.

Crude oil edged higher on Monday as Russia shrugged off the U.S. deadline to end its war with Ukraine or face sanctions. West Texas Intermediate crude for September delivery was up $0.17 or 0.27 percent at $64.05 per barrel.