Plus   Neg

Malaysia Shares May Extend Losing Streak

The Malaysia stock market has finished lower in six straight sessions, plunging almost 65 points or 3.6 percent along the way. The Kuala Lumpur Composite Index now rests just above the 1,735-point plateau and it's expected to open in the red again on Thursday.

The global forecast for the Asian markets is broadly negative thanks to growing concerns over growth, trade and interest rates. The European and U.S. markets were firmly in the red and the Asian bourses are expected to open in similar fashion.

The KLCI finished sharply lower on Wednesday following losses from the financials, industrials and telecoms.

For the day, the index plummeted 38.97 points or 2.20 percent to finish at 1,735.18 after trading between 1,732.50 and 1,781.79. Volume was 2.99 billion shares worth 2.87 billion ringgit. There were 994 decliners and 116 gainers.

Among the actives, Telekom Malaysia plummeted 15.84 percent, while Axiata plunged 12.70 percent, Genting tumbled 5.93 percent, Genting Malaysia skidded 5.48 percent, Tenaga Nasional dropped 4.55 percent, CIMB Group retreated 3.31 percent, Dialog Group declined 2.36 percent, MISC jumped 2.30 percent, Digi.com shed 1.72 percent, Maybank lost 1.45 percent, Sime Darby climbed 1.15 percent, IHH Healthcare fell 0.76 percent, IOI Corporation was down 0.66 percent, Petronas Chemicals eased 0.11 percent and Public Bank collected 0.08 percent.

The lead from Wall Street is brutal as stocks saw substantial weakness on Wednesday, with the tech-heavy NASDAQ tumbling to a three-month closing low.

The Dow shed 831.83 points or 3.15 percent to 25,598.74, while the NASDAQ plunged 315.97 points or 4.08 percent to 7,422.05 and the S&P tumbled 94.66 points or 3.29 percent to 2,785.68.

Technology stocks led the way lower on Wall Street, with Netflix (NFLX), Amazon (AMZN), Apple (AAPL) and Facebook (FB) all posting significant losses on the day.

The sell-off came amid lingering concerns about the outlook for interest rates following a recent increase in treasury yields. Treasury yields moved higher after the Labor Department reported a rebound in producer prices in September.

The Federal Reserve raised interest rates by a quarter point to 2 to 2.25 percent last month, marking the third rate hike this year. The Fed's projections point to one more increase in rates this year and three rate hikes next year.

Crude oil prices drifted lower on Wednesday, amid prospects of a drop in crude demand due to weak global economic growth outlook. Crude oil futures for November ended down $1.79 or 2.4 percent at $73.17 a barrel.

Closer to home, Malaysia will see August numbers for industrial and manufacturing production later today; in July, they were up an annual 2.6 percent and 5.2 percent, respectively.

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