Malaysian shares prices closed 0.82 percent higher on Wednesday after the government announced measures to contain inflation, including capping fuel prices and road toll charges, dealers said.
Easing oil prices and an overnight 141-point rise in the Dow Jones Industrial Average also boosted sentiment, as did news that Prime Minister Abdullah Ahmad Badawi is to visit London and New York next week to canvass investment.
The Kuala Lumpur Composite Index gained 7.43 points to 919.07 on volume of 379.50 million shares worth 618.48 million ringgit (164 million dollars). Gainers outnumbered losers 461 to 231. The ringgit was at 3.7685 to the US dollar and 4.7035 to the euro after 3.7690 and 4.7017 Tuesday.
"The government's inflation-fighting measures announcement was a big boost to the market in late afternoon. The market has been worried that inflation will curb economic growth,and the government announcement was seen as a first concrete step taken by the authorities to fight inflation," a local brokerage dealer said.
Among blue chips, Tenaga Nasional was up 0.10 ringgit at 11.00, Telekom Malaysia rose 0.20 to 10.30 and Malayan Banking gained 0.10 to 11.40.
National carmaker Proton Holdings was down 0.10 at 8.50 on fears it may have to set aside further provisions to cover loans to group firms, dealers said.
Comments
Comments are closed.