(RTTNews) – The Malaysia stock market bounced higher again on Wednesday, one day after snapping the four-day winning streak in which it had jumped almost 40 points or 2.8 percent. The Kuala Lumpur Composite Index now rests just above the 1,470-point plateau and it may extend its gains on Thursday.
The global forecast for the Asian markets is upbeat on encouraging news for interest rates. The European markets had modest gains and the U.S. bourses surged, and the Asian markets figure to split the difference.
The KLCI finished modestly higher on Wednesday following gains from the financials and telecoms, while the plantations and glove makers were mixed.
For the day, the index added 7.02 points or 0.48 percent to finish at 1,470.71 after trading between 1,460.97 and 1,470.96. Volume was 2.187 billion shares worth 1.362 billion ringgit. There were 477 gainers and 351 decliners.
Among the actives, Digi.com surged 3.54 percent, while Dialog Group soared 2.90 percent, INARI spiked 2.58 percent, Maxis accelerated 2.36 percent, Hong Leong Bank jumped 1.93 percent, MRDIY rallied 1.85 percent, Press Metal strengthened 1.78 percent, IHH Healthcare retreated 0.93 percent, RHB Capital climbed 0.87 percent, MISC advanced 0.85 percent, Top Glove improved 0.51 percent, Sime Darby sank 0.43 percent, CIMB Group increased 0.38 percent, Axiata added 0.37 percent, Hartalega Holdings and Telekom Malaysia both lost 0.36 percent, Genting Malaysia fell 0.34 percent, Kuala Lumpur Kepong gained 0.28 percent, Petronas Chemicals rose 0.23 percent, Maybank collected 0.11 percent and Genting, Sime Darby Plantations, PPB Group, Public Bank, Tenaga Nasional and IOI Corporation all were unchanged.
The lead from Wall Street is broadly positive as the major averages opened slightly higher on Wednesday but skyrocketed late in the day after the FOMC rate decision.
The Dow spiked 436.05 points or 1.37 percent to finish at 32,197.59, while the NASDAQ surged 469.85 points or 4.06 percent to end at 12,032.42 and the S&P 500 jumped 102.56 points or 2.62 percent to close at 4,023.61.
Stocks were steady in early trading and then accelerated to the upside following the Federal Reserve’s monetary policy decision and Fed Chair Jerome Powell’s post-meeting press conference.
While the Fed announced another 75-basis-point interest rate, as widely expected, comments from Powell hinted at a slowdown in the pace of rate hikes at future meetings.
Crude oil prices surged higher Wednesday after data showed a drop in U.S. crude inventories last week, while cuts in Russian gas flows to Europe also contributed as oil’s sharp rise. West Texas Intermediate Crude oil futures for September climbed $2.28 or 2.4 percent at $97.26 a barrel.
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