Malaysian shares closed down 0.9 percent on Tuesday due to declines on Wall Street and weaker regional markets, dealers said. The Kuala Lumpur Composite Index lost 7.82 points to 868.74, with decliners outpacing gainers 277 to 172. "Negative cues from Wall Street and weaker regional markets pressured retail players to unwind positions.
However, buying interest from local funds helped mitigate the selloff to some degree," a dealer told Dow Jones Newswires. "Many are still pinning hopes on the (March 10) mini budget to revive our flagging economy," the dealer said, referring to a second economic stimulus package.
Prime Minister Abdullah Ahmad Badawi has said the package, aimed at helping companies and workers affected by the global slowdown, will be far bigger than the seven billion ringgit (1.9 billion dollar) measure announced last year. Among decliners, Resorts World was down 2.8 percent to 2.05 ringgit, IOI Corp lost 1.6 percent to 3.60 while Genting slid 2.4 percent to 3.32. On the upside, TMI gained 2.2 percent to 2.75 while Kian Joon rose 2.6 percent to 1.19.