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Losing Streak May Continue For Malaysia Bourse

The Malaysia stock market has moved lower in two straight sessions, sinking almost 10 points or 0.6 percent along the way. The Kuala Lumpur Composite Index now rests just above the 1,500-point plateau and the losses may accelerate on Thursday.

The global forecast for the Asian markets is broadly negative on renewed fears regarding the Covid-19 virus. The European and U.S. markets were sharply lower and the Asian markets are tipped to follow suit.

The KLCI finished slightly lower on Wednesday as losses from the financials and telecoms were mitigated by support from the plantations.

For the day, the index dipped 4.41 points or 0.29 percent to finish at 1,502.63 after trading between 1,496.99 and 1,507.38. Volume was 5.388 billion shares worth 2.602 billion ringgit. There were 556 decliners and 409 gainers.

Among the actives, Petronas Dagangan plummeted 4.59 percent, while Malaysia Airports Holdings surged 2.33 percent, Genting Malaysia plunged 1.87 percent, Genting tanked 1.61 percent, RHB Capital soared 1.48 percent, Sime Darby tumbled 1.42 percent, IOI Corporation spiked 1.38 percent, Maxis skidded 1.30 percent, Tenaga Nasional retreated 1.18 percent, Press Metal declined 1.09 percent, Kuala Lumpur Kepong jumped 0.99 percent, Hartalega Holdings climbed 0.83 percent, Digi.com dropped 0.71 percent, IHH Healthcare and CIMB Group both sank 0.55 percent, Public Bank advanced 0.49 percent, PPB Group added 0.45 percent, Sime Darby Plantations gained 0.41 percent, Top Glove lost 0.26 percent, Maybank fell 0.13 percent, MISC rose 0.13 percent and Petronas Chemicals, Dialog Group, Axiata and AMMB Holdings were unchanged.

The lead from Wall Street is soft as stocks opened firmly in the red on Wednesday and remained there throughout the session.

The Dow plummeted 710.16 points or 2.72 percent to finish at 25,445.94, while the NASDAQ plunged 222.20 points or 2.19 percent to end at 9,909.17 and the S&P 500 tumbled 80.96 points or 2.59 percent to close at 3,050.33.

The sell-off on Wall Street came as traders could no longer ignore the spiking number of new Covid-19 cases in several U.S. states after Florida and California both reported their single biggest daily increases in new cases.

New York Governor Andrew Cuomo also announced that out-of-state visitors coming to New York, New Jersey and Connecticut from regions with high Covid-19 rates will be required to quarantine for 14 days.

Recent studies suggest the nation's seven-day average of daily new Covid-19 cases spiked more than 30 percent compared with a week ago.

Crude oil prices declined sharply on Wednesday as worries about the outlook for energy demand rose after data showed a surge in coronavirus cases. West Texas Intermediate Crude oil futures for August ended down $2.36 or 5.8 percent at $38.01 a barrel.

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