Bursa Malaysia gave up early gains and closed the morning session slightly lower due to a lack of new catalysts.
At 12.30pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) was down 0.64 points (0.04%) to 1,600.58 compared to Thursday's close of 1,601.22.
The barometer index opened 2.24 points better at 1,603.46 and moved between 1,600.39 to 1,604.07 throughout the session.
In broad sentiment, losers outnumbered gainers by 509 to 500. Meanwhile, 461 counters were unchanged, 870 were untraded and 26 others suspended.
According to a statement by Hong Leong Investment Bank Bhd (HLIB), the KLCI situation is now reflected based on the mix of markets in Asia. it fell 3.5 points to 1,601.2 points following the retraction of positive profit taking with average trading volume (ADTV) down 12.3% to RM3.13 billion.
Although losses still dominated the local market, market breadth returned to positive territory at 1.3 from 0.99 previously boosted by Bank Negara Malaysia's (BNM) confidence in Malaysia's forecasted improving economy and moderate inflation.
Commenting further, they consider the current rally capable of facing tough resistance in the 1,620 to 1,642 area. It also has the potential to trigger profit-taking activity towards key support near 1,588 and the 1,565 support level amid overbought market signals.
