SE Asia Stocks - Malaysia at 15-month low; poised for technical rebound
BANGKOK, Dec 4 (Reuters) - Malaysian shares hit a 15-month low on Thursday as the ringgit extended losses amid concerns over the impact of declining oil prices. Most other Southeast Asian indexes edged higher in line with Asian stocks amid optimism about the U.S. economy. The Kuala Lumpur composite index was down 0.3 percent at 1,752.86, having earlier hit 1,743.62, its lowest since September 2013. The fall sent the index into oversold territory, with its 14-day Relative Strength Index (RSI) slipping to 29.78. A level of 30 or lower indicates an oversold market. Technical indicators pointed to a rebound in the near term but any strong gain would be capped by the weakness in the ringgit, broker Affin Hwang Capital said in a report. The ringgit lost 0.2 percent to 3.4470 per dollar. Shares of Tenaga Nasional and Kuala Lumpur Kepong were among the underperformers while shares of Petronas Chemicals Group jumped 3.6 percent to 5.49 ringgit after a 6 percent drop in the preceding three days. Broker Maybank IB Research upgraded Petronas Chemicals Group to 'buy' from 'hold', citing the stock's low valuations. "We think current level is a good buying opportunity, as the blanket de-rating of the oil and gas sector overshadows many of PCHEM's attributes," it said in a report. Singapore's Straits Times Index was up 0.3 percent after a 0.6 percent loss on Wednesday. Shares of CapitaLand rose 0.3 percent after its unit acquired property in Jakarta, while weak sentiment on oil and gas related stocks continued to hit shares such as Keppel Corporation. Jakarta edged up 0.2 percent, with lower oil prices helping ease concerns over the country's fiscal and trade deficit. A central bank official said Indonesia's current account deficit is expected to fall below 3 percent of gross domestic product this year due to a sharp drop in global oil markets and last month's hike in domestic subsidised fuel prices. For Asian Companies click; For South East Asia Hot Stock reports, click; SOUTHEAST ASIAN STOCK MARKETS Change at 0519 GMT Market Current Prev Close Pct Move Singapore 3312.84 3303.39 +0.29 Kuala Lumpur 1752.86 1758.15 -0.30 Bangkok 1595.77 1594.58 +0.07 Jakarta 5175.84 5166.04 +0.19 Manila 7339.36 7360.75 -0.29 Ho Chi Minh 579.92 574.88 +0.88 (1 US dollar = 32.8900 Thai baht) (Reporting by Viparat Jantraprap; Editing by Sunil Nair)
© Thomson Reuters 2017 All rights reserved.