Recovery stocks rise on bullish commodities prices

KUALA LUMPUR: The FBM KLCI maintained its early lead amid the growing recovery theme on the market and rising commodities prices.

At 12.30pm, the key index was up 7.08 points to 1,560.45, with certain bank stocks continuing their advance ahead of their earnings resultss later this week.

“We believe overall sentiment on the local bourse should continue to be supported by the broad-based recovery tune amid the rising commodities prices following the smooth vaccination progress as well as investors appearing to be optimistic over the ongoing reporting season,” said Malacca Securities Research.

The research house said next resistance is at 1,565 following the breach of 1,540, while support is located at 1,520.

On the blue-chip FBMKLCI, leading gainers were Press Metal rising 11 sen to RM5.11 and Tenga Nasiona climbing 17 sen to RM10.14.

Financial counters on the rise included Maybank up two sen to RM8.34 and CIMB adding two sen to RM4.85. Public Bank was down three sne to RM4.08 while Hong Leong Bank slid 12 sen to RM18.88.

Sime Darby Plantation fell three sen to RM4.13 on profit-taking while Kuala Lumpur Kepong was up 26 sne to RM20.76.

Among consumer counters, Nestle rose 90 sen to RM134.80 and Dutch Lady gained 28 sen to RM32.38.

Top actives were Kanger unchanged at six sen, MMAG down 0.5 sen to 11 sen and Sapura Energy flat at 12 sen.

Asian shares were slightly lower on profit-takjing following the recent rally as rising commodities prices kept the investor interest in equities.

Japan’s Nikkei was down 0.1% and South Korea’s Kospi slid 0.3%.

China’s main index was up 0.3% while Hong Kong’s Hang Seng fell 0.4%. Australia’s ASX200 rose 0.2%.