Malaysia Stock Market May Extend Losing Streak

(RTTNews) - The Malaysia stock market has finished lower now in back-to-back sessions, giving away more than 20 points or 1.2 percent along the way. The Kuala Lumpur Composite Index settled above the 1,785-point plateau, and the market is poised to take further damage on Monday.

The global forecast for the Asian markets suggests consolidation, thanks to hawkish remarks from Federal Reserve Chair Janet Yellen. The European and U.S. markets ended slightly lower, and the Asian bourses figure to follow that lead.

The KLCI finished modestly lower on Friday as losses from the financial shares and plantation stocks were offset by support from the industrial issues.

For the day, the index dipped 7.54 points or 0.42 percent to finish at 1,787.50 after trading between 1,780.11 and 1,798.46. Volume was 1.58 billion shares worth 1.93 billion ringgit. There were 498 decliners and 296 gainers, with 342 stocks finishing unchanged.

Among the actives, Tenaga Nasional, Sime Darby, PPB Group, IOI Corporation, CIMB Group, RHB Capital, Public Bank, Hong Leong Bank and Petronas Dagangan all finished lower, while MISC, Petronas Gas, Petronas Chemicals, Kuala Lumpur Kepong and Maybank all ended higher.

The lead from Wall Street is slightly negative as stocks moved lower on Friday, handing back some of the gains from earlier in the week.

Speaking to the Chamber of Commerce in Providence, R.I., Yellen said the central bank will likely raise interest rates this year, as long as economic activity picks up. She added that transitory factors were mostly to blame for first quarter weakness.

The S&P 500 was down 4.76 points or 0.2 percent to 2,126.06 but gained 0.2 percent for the week. The Dow dipped 0.3 percent or 53.72 points to 18,232.02 for a 0.2 percent weekly loss. The NASDAQ eased 1.43 points to 5,089.36, but added 0.8 percent for the week.

The choppy trading also followed the Labor Department's report on consumer price inflation, which rose in line with estimates, although core prices rose by more than expected.

The U.S. markets are closed on Monday for the Memorial Day holiday, and will re-open on Tuesday.