Malaysia Bourse May Extend Thursday's Gains

(RTTNews) - The Malaysia stock market moved back to the upside on Thursday, one session after ending the three-day winning streak in which it had gathered more than 25 points or 1.6 percent. The Kuala Lumpur Composite Index now rests just above the 1,665-point plateau and it's expected to open higher again on Friday.

The global forecast for the Asian markets is upbeat on optimism for the outlook for both the economy and for interest rates. The European and U.S. markets were sharply higher and the Asian bourses are expected to open in similar fashion - although there may be profit taking as the day progresses.

The KLCI finished modestly higher on Thursday as gains from the industrials and telecoms were capped by weakness from the financials and a mixed picture from the plantations.

For the day, the index rose 5.05 points or 0.30 percent to finish at 1,665.65 after trading between 1,657.13 and 1,665.84.

Among the actives, Axiata added 0.40 percent, while Celcomdigi strengthened 1.33 percent, CIMB Group shed 0.48 percent, Genting climbed 0.97 percent, IHH Healthcare and PPB Group both improved 0.56 percent, IOI Corporation perked 0.26 percent, Kuala Lumpur Kepong dipped 0.29 percent, Maxis spiked 2.83 percent, Maybank fell 0.37 percent, MISC gained 0.37 percent, MRDIY rallied 2.03 percent, Petronas Chemicals accelerated 2.17 percent, Press Metal jumped 1.65 percent, Public Bank and Sime Darby both lost 0.42 percent, QL Resources advanced 0.85 percent, RHB Bank rose 0.32 percent, SD Guthrie increased 0.43 percent, Sunway skyrocketed 5.80 percent, Telekom Malaysia eased 0.15 percent, Tenaga Nasional sank 0.68 percent, YTL Corporation surged 4.84 percent, YTL Power soared 4.25 percent and Genting Malaysia was unchanged.

The lead from Wall Street is broadly positive as the major averages opened solidly higher and remained firmly in the green throughout the session.

The Dow surged 522.09 points or 1.26 percent to finish at 42,025.19, while the NASDAQ rallied 440.68 points or 2.51 percent to end at 18,013.98 and the S&P 500 advanced 95.38 points or 1.70 percent to close at 5,713.64.

The rally on Wall Street came as traders continued to digest the Federal Reserve's decision on Wednesday to slash interest rates by half of a percentage point.

Fed officials also forecast continued rate cuts over the coming months and into next year, generating optimism the central bank will be able to engineer a soft landing for the economy.

Adding to the optimism about the economy, the Labor Department released a report showing first-time claims for U.S. unemployment benefits fell to a nearly four-month low last week.

Oil prices moved higher on Thursday with rising tensions in the Middle East raising possibility of disruptions in supply. West Texas Intermediate Crude oil futures for October ended up by $1.04 or 1.5 percent at $71.55 a barrel.