KL Shares Seen Lower after Dow Hits New Low
MALAYSIAN shares are expected to ease on Friday after US stocks fell overnight amid fears of recession and concerns about the health of the financial sector.
The main Wall St indices finished up to 1.7 per cent lower, with the Dow Jones industrial average at a more than six-year low, as US jobless benefit numbers hit a record high and concerns about government plans to mop up bad assets from banks.
“The regional markets are likely to fall today, tracking the US markets, and Malaysia will also see some downward movement,” said a dealer at a local bank.
“The fall here may not be a very sharp one, however, there is no catalyst in the market to push the index up as well,” he said.
Dealers said investors were also closely watching the earnings announcements to gauge the impact of the global financial crisis on local companies.
Among the big caps, IOI Corp, Malaysia’s second-largest palm oil producer, is due to release its second-quarter earnings later today.
Earnings are likely to fall due to weaker product prices following a steep drop in crude palm oil prices. Malaysia’s benchmark stock index closed up 0.49 per cent at 899.59 points on Thursday. - Reuters
The main Wall St indices finished up to 1.7 per cent lower, with the Dow Jones industrial average at a more than six-year low, as US jobless benefit numbers hit a record high and concerns about government plans to mop up bad assets from banks.
“The regional markets are likely to fall today, tracking the US markets, and Malaysia will also see some downward movement,” said a dealer at a local bank.
“The fall here may not be a very sharp one, however, there is no catalyst in the market to push the index up as well,” he said.
Dealers said investors were also closely watching the earnings announcements to gauge the impact of the global financial crisis on local companies.
Among the big caps, IOI Corp, Malaysia’s second-largest palm oil producer, is due to release its second-quarter earnings later today.
Earnings are likely to fall due to weaker product prices following a steep drop in crude palm oil prices. Malaysia’s benchmark stock index closed up 0.49 per cent at 899.59 points on Thursday. - Reuters
source: www.btimes.com.my
