KUALA LUMPUR (Oct 1): The FBM KLCI pared some of its gains at mid-morning, keeping the local index subdued in line with the regional markets on the first trading day of the fourth quarter.

At 10am, the FBM KLCI was up 1.06 points to 1,794.21. The index had earlier risen to a high of 1,797.85.

Gainers led losers by 243 to 235, while 263 counters traded unchanged. Volume was 521.05 million shares valued at RM222.13 million.

The gainers included Malaysian Pacific Industries Bhd, United Plantations Bhd, Petronas Dagangan Bhd, Hong Leong Industries Bhd, Petronas Gas Bhd, British American Tobacco (M) Bhd, Apex Healthcare Bhd, QL Resources Bhd, Batu Kawan Bhd and Nestle (M) Bhd.

The actives included Sumatec Resources Bhd, Vizione Holdings Bhd, Sapura Energy Bhd, Hibiscus Petroleum Bhd, Ikhmas Jaya Group Bhd, Reach Energy Bhd, Iris Corp Bhd and Nova MSC Bhd.

The losers included Carlsberg Brewery Malaysia Bhd, Kumpulan Perangsang Selangor Bhd, KESM Industries Bhd, Gamuda Bhd, Dutch Lady Milk Industries Bhd, Harrisons Holdings (M) Bhd and Astino Bhd.

The Canadian dollar and the Mexican peso rose on Monday on hopes of progress in negotiations over a renewed North American Free Trade Agreement (NAFTA) deal, but Asian shares got off to a slow start amid further signs of weakness in China, according to Reuters.

MSCI's broadest index of Asia-Pacific shares outside Japan dipped 0.1% in early trade, led by fall in Australia, though activity is likely to be slow due to holidays in China including Hong Kong, it said.

Hong Leong IB Research in a traders' brief said for the US, investors are likely to remain cautious amid the uncertain trade developments, as President Donald Trump's stern actions towards its trading partners are still causing uneasiness among investors.

"Hence, we see the Dow's upside to be capped over the near term.

"As September performance has ended on a lacklustre mood, we believe market participants are still searching for re-rating catalyst for Malaysia, focusing on the next corporate earnings season and Budget 2019 that will be held in November.

"Hence, for the near term, trading themes such as export oriented and O&G will be under traders' radar," it said.