KUALA LUMPUR: BIMB Securities Research expects the Malaysian market sentiment to remain bearish in the short term due to poor investor sentiment.
It said on Friday sentiment would also be affected by continuous selling by foreign institutions and it expects the FBM KLCI to see strong support at 1,650.
On Thursday, the KLCI extended its losing streak for the fourth day, falling 19.53 points or 1.2% to 1,666.98 dragged down by banking counters.
“Trading participation saw net selling by foreign funds (at –RM359.7mil) despite of lower participation of 24%,” it said. Local funds and retailers were net buyers at RM310.8mil and RM48.9mil.
On the external front, European bourses ended mixed as investors tried to find their footing amid a busy day for corporate earnings.
US stocks closed lower as investors continued to consider the possibility of a December rate hike and lower-than-expected 3Q GDP numbers. The DJIA fell 0.13% to end at 17,755.80 and the S&P 500 down by 0.04% to 2,089.41.
Key regional indexes finished mixed tracking an uninspiring handover from offshore markets.
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