Malaysian share prices are expected to consolidate, as investors remain concerned over the state of the US economy and the surge in global oil prices, analysts said on Friday.
They said Federal Reserve Chairman Ben Bernanke's warning of further delinquencies and foreclosures in the troubled US subprime mortgage market will likely keep investors on the sidelines.
Terence Wong, head of research at CIMB Investment Bank, said that while current sentiment is flat, he is positive about the market over the longer term. "Once the US subprime concerns taper off, things should pick up again," Wong said, adding that the market will continue to track developments in the US.
For the week to September 21, the Kuala Lumpur Composite Index gained 16.44 points or 1.3 percent to 1,305.94 points.
Average daily volume rose to 859.6 million shares valued at 1.41 billion ringgit (409.9 million dollars) during the week, from 851.86 million shares worth 1.28 billion ringgit a week earlier.