KUALA LUMPUR: Bursa Malaysia reversed its downward trend today, closing higher after four consecutive days of losses as investors engaged in bargain hunting following the recent sell-off.
At 5pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 5.42 points or 0.35 per cent, to 1,540.42 from Tuesday's close of 1,535.0.
The benchmark index started slightly higher at 1,535.05, up by 0.05 of a point, and fluctuated between 1,532.95 and 1,541.88 throughout the trading session.
On the broader market, gainers trounced decliners 717 to 318, while 469 counters were unchanged.
Turnover fell to 3.45 billion units worth RM2.67 billion from 4.93 billion units worth RM3.72 billion on Tuesday.
Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng said the FBM KLCI closed marginally higher as bargain hunting activities emerged following the recent sell-off.
He added that key regional indices also rebounded due to the same reason.
Nonetheless, he said gains are capped in certain markets as expectations for US interest rates to stay high.
The US Fed had noted that it needs more confidence in the inflation numbers before starting the rate cut.
"On the domestic front, we remain cautious as the short-term direction of the local market is significantly influenced by external factors, such as regional volatility, interest rates, and geopolitical tensions.
"However, we expect stock accumulation to persist during market dips," he told Business Times.
Thong anticipate the FBM KLCI to trend sideways with an upside bias within the range of 1,530-1,550 for the remainders of the week with immediate support at 1,530 and resistance at 1,570.