November 04, 2009 10:26 AM

BURSA MALAYSIA: Shares Slightly Higher In Early Trading

KUALA LUMPUR, Nov 4 (Bernama) -- Share prices on Bursa Malaysia were slightly higher in early trading on Wednesday on buying support in selected heavyweights and lower liners, dealers said.

A dealer said the market was reacting favourably to news that the Malaysian economy would likely register positive growth in the third quarter of this year.

At the opening bell, the FTSE Bursa Malaysia Kuala Lumpur Composite Index (FBM KLCI) gained 0.47 of a point to 1,242.79.

Three minutes later, it rose 1.2 points to 1,243.52.

The FBM Emas Index added 9.359 points to 8,328.26, the FBM Top 100 was 7.22 points higher to 8,122.61, the FBM 70 earned 4.8 points to 8,102.46 and the FBM ACE Index rose 8.91 points to 4,351.36.

The Finance Index advanced 2.15 points to 10,557.41, the Plantation Index however fell 10.58 points to 6,054.38 while the Industrial Index edged up 0.78 of a point to 2,669.16.

Gainers led losers by 58 to 18 with 42 counters unchanged and 1,153 others untraded.

Turnover stood at 21.432 million shares worth RM15.066 million.

HWANGDBS Vickers Research Sdn Bhd, in its research note, said the benchmark FBM KLCI is likely to trend on a slight upward bias as investors' interest may focus on banking stocks.

It said banks are likely to increase mortgage interest rates to remove irrational price competition.

" Rates hike are positive for banks as it would increase their net interest margin (NIM). On the contrary, the rate hike news may dampen sentiment on property stocks," it said.

Any upside for FBM KLCI is seen to be capped at its immediate 1,255 resistance level.

However, investors are likely to trade cautiously ahead of Malaysia's September 2009 trade figures to be released later today.

Actives, Time Engineering rose five sen to 49.5 sen, while D.B.E Gurney Resources and Time DotCom added two sen each to 41.5 sen and 43.5 sen, respectively.

Heavyweights -- Sime Darby, Maybank and Tenaga Nasional Bhd -- were unchanged at RM8.87, RM6.72 and RM8.40, respectively. CIMB Group rose two sen to RM12.58.

-- BERNAMA

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