Malaysian shares ended with small gains on Tuesday, regaining some composure after a 4.6 percent loss in three days, sparked by concerns over rising oil prices and prospects of US rate hike.
A rebound in other Asian markets following Monday's widespread sell-off helped calm some nerves in Malaysia but dealers said small investors remained wary.
"The market stabilised today, following the trend in the region," said one analyst. "But the mood is still weak."
Malaysia, a net oil exporter, said on Tuesday it would study the impact of oil prices on its trade-dependent economy.
The 100-stock Kuala Lumpur Composite Index, which hit near five-month lows on Monday, closed the day up 0.28 percent at 783.27 points, off an intraday low of 771.94.
Overall volume was 421 million shares, against Monday's 441 million. Losers, led by penny stocks, beat gainers 552 to 270.
Dominant phone company Telekom Malaysia, the second biggest stock by market value, rose 1.7 percent to 8.80 ringgit ($2.32) ahead of its first-quarter results on May 26. Banks were actively traded. AMMB, the country's fifth-biggest lender, rose 3.7 percent at 3.34 ringgit after Monday's sharp drop.
Second-placed lender Commerce Asset-Holding ended 0.9 percent up at 4.50 ringgit. The bank said on Monday its first-quarter net profit doubled on higher non-interest income.