The Kuala Lumpur Composite Index rose 2.44 points to 896.51, with decliners outnumbering gainers 250 to 219.
The turnover today was at 327.15 million shares valued at RM616.21 million, lower that the 338.47 million shares valued at RM601.1 million yesterday.
“The market enjoyed a small rally in morning trade, triggered by gains on Wall Street, firmer regional markets and interest in TM on a planned capital repayment exercise,” a dealer told said.
“However, the central bank’s surprise decision to cut interest rates Tuesday by 50 basis points served as a stark reminder that fundamentals remain weak and our economy is still at risk of weakening further,” he said.
Malaysia’s central bank cut its key interest rate by 50 basis points to 2.0 per cent yesterday, saying the troubled global outlook had raised the risk of a recession in 2009.
The surprise decision represented an unprecedented third consecutive cut in interest rates, as Malaysia attempts to stave off a slowdown with official data showing steep declines in exports and industrial production.
On the upside, AZRB rose 10.9 per cent to 61 sen while Tenaga added 2.4 per cent to RM6.30. IOI Corp rose four sen to RM3.72 and United Plantations Bhd increased 10 sen to RM10.80.
Among decliners, TMI lost 2.5 per cent to RM3.14, Maybank slipped 0.9 per cent to RM5.35 while Public Bank slid 0.6 per cent to RM9.10. - AFP, Bernama