The Malaysia stock market bounced higher again on Thursday, one session after ending the two-day winning streak in which it had advanced almost 15 points or 1 percent. The Kuala Lumpur Composite Index now sits just above the 1,580-point plateau and it may add to its winnings on Friday.
The global forecast for the Asian markets is upbeat on an improved outlook for interest rates. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to follow the latter lead.
The KLCI finished slightly higher on Thursday following gains from the plantations and mixed performances from the financial shares and telecoms.
For the day, the index rose 4.33 points or 0.27 percent to finish at 1,580.30 after trading between 1,574.27 and 1,582.68.
Among the actives, Axiata jumped 1.41 percent, while Celcomdigi dropped 0.96 percent, CIMB Group added 0.45 percent, Genting shed 0.66 percent, Genting Malaysia tumbled 1.14 percent, IOI Corporation rallied 0.98 percent, Kuala Lumpur Kepong gained 0.43 percent, Maxis slid 0.27 percent, Maybank collected 0.51 percent, MISC and Tenaga Nasional both advanced 0.50 percent, MRDIY skyrocketed 6.41 percent, Petronas Chemicals spiked 1.62 percent, PPB Group climbed0.76 percent, Press Metal sank 0.74 percent, Public Bank fell 0.49 percent, QL Resources soared 1.71 percent, RHB Capital lost 0.55 percent, Sime Darby Plantations and YTL Power both rose 0.22 percent, Telekom Malaysia slumped 0.81 percent, YTL Corporation surged 1.94 percent and IHH Healthcare and Sime Darby were unchanged.
The lead from Wall Street is firm as the major averages opened higher on Thursday and continued to strengthen as the day progressed, ending near session highs.
The Dow jumped 322.37 points or 0.85 percent to finish at 38,225.66, while the NASDAQ rallied 235.48 points or 1.51 percent to close at 15,840.96 and the S&P 500 advanced 45.81 points or 0.91 percent to end at 5,064.20.
The strength that emerged on Wall Street came as traders breathed a sigh of relief following the Federal Reserve\'s monetary policy announcement on Wednesday. Traders had expressed some concerns the Fed\'s next monetary policy move could actually be an interest rate hike rather than a cut, but Fed Chair Jerome Powell post-meeting alleviated those worries.
Earlier in the day, stocks saw volatility as traders reacted to the latest batch of U.S. economic data, including a Labor Department report showing a surge by labor costs in the first quarter of 2024. A separate Labor Department showed initial jobless claims came in unchanged last week, while a Commerce Department report showed the U.S. trade deficit narrowed slightly in March.
Oil futures failed to hold early gains and settled slightly lower on Thursday amid easing concerns over supply disruptions and worries about the outlook for economic growth and energy demand. West Texas Intermediate Crude oil futures for June ended down by $0.05 at $78.95 a barrel.