Why KLCI drop again???

Every thing blame on electionnnnnnnn....


KLCI falls 0.8% on 2nd round of election jitters
Business & Markets 2013
Written by Ho Wah Foon of theedgemalaysia.com   
Wednesday, 30 January 2013 13:02

KUALA LUMPUR (Jan 30): The stock market, which succumbed to a second round of election jitters with the KLCI falling by as much as 1.4% earlier, ended the morning session with a reduced loss of 0.8 %.

At 12.30 pm noon break, the key FBM KLCI fell 12.55  points or 0.77% to 1624.79, after hitting a low of 1613.17 points at 11.25 am today.

An investment banker told the edgemalaysia.com: “We have several international funds trimming their Malaysian positions this morning.”

“There is no bad news in our market and the regional markets are doing well. But most of our major index linked stocks have fallen heavily. We believe it could be another round of election jitters before the general election,” said a senior dealer.

“I believe the local and foreign funds are selling ahead of the election. From now till the election is called, any rumour can spark a sell-off. We have seen this last Monday and this could be another round of sell-off. But it is not as serious as last Monday,” said Pong Teng Siew, the head of research for InterPacific Securities.

Last Monday, the KLCI fell 2.4% on election jitters.

Turnover today netted 674 million shares, valued at RM966 million. Losers led gainers by 501:130.

The market was weighed down by active selling in heavyweights such as Petronas Dagangan, Petronas Gas, PPB, United PLANTATION []s, KLK, Nestle, Genting, Hong Leong Financial Group and Public Bank (foreign).

The only stock that shone brightly in the market was China Automobile Parts Holdings Bhd, which made its debut today. The top gainer ended at 85 sen, which was 17 sen or 25% above its IPO price of 68 sen, on 152.6 million shares, after hitting a high of RM1.28.

Outside Malaysia, Asian shares rose to their highest level in nearly 18 months today as strong U.S. data further boosted investor confidence in global economic outlook, ahead of the U.S. Federal Reserve's monetary policy decision due later today, Reuters reported.

Optimism over economic recovery on strong U.S. housing market and China's economic growth forecast for 2013 raised expectations for stronger demand for fuel and industrial commodities, underpinning oil prices and lifting copper.

The MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.6 percent.

Commodity-reliant Australian shares inched up 0.2 percent after hitting a fresh 21-month high as top miners climbed on firmer copper prices.

Hong Kong shares jumped 1 percent and Shanghai shares rose 0.3 percent.

Japan's Nikkei stock average advanced 1.1 percent.

1 comments:

if not bcos of pru13, KLCI shld cross 1,700 by now liaooo , of coz d factor is election !!!