KUALA LUMPUR (July 1): The FBM KLCI pared some of its gains at the midday break today but stayed on course to close the first trading day of the second half of 2019 on a positive note.

At 12.30pm, the FBM KLCI gained 6.33 points to 1,678.46. The index had earlier risen to a high of 1,680.96.

Gainers led losers by 401 to 172, while 500 counters traded unchanged. Volume was 1.95 billion shares valued at RM1.05 billion.

The gainers included Malaysian Pacific Industries Bhd, RHB Bank Bhd, British American Tobacco (M) Bhd, Yinson Holdings Bhd, Hong Leong Industries Bhd, Petronas Chemicals Group Bhd, Carlsberg Brewery Malaysia Bhd, Hong Long Financial Group Bhd and Heineken Malaysia Bhd.

The actives included KNM Group Bhd, Bumi Armada Bhd, Ekovest Bhd, Perdana Petroleum Bhd, Iskandar Waterfront City Bhd, Lambo Group Bhd, Dayang Enterprise Holdings Bhd and Scomi Group Bhd.

The losers included Nestle (M) Bhd, Fraser & Neave Holdings Bhd, Dutch Lady Milk Industries Bhd, PPB Group Bhd, LPI Capital Bhd, GHL Systems Bhd, Batu Kawan Bhd, United Plantations Bhd, Kuala Lumpur Kepong Bhd and Sime Darby Plantation Bhd.

Southeast Asian stock markets saw a relief rally on Monday after weeks of volatile trade, as a thaw in Sino-US trade tensions and upbeat comments from US President Donald Trump revived risk appetite, according to Reuters.

Trump said on Saturday that talks with China were "right back on track", offering new concessions including no new tariffs and an easing of restrictions against Chinese tech giant Huawei, it said.

Affin Hwang Capital Research said the FBM KLCI Index closed flat last Friday, shedding only 0.57 points or 0.03%. The index closed at 1,672.13.

"The index ended last week on a muted note which is pretty much the mood for the entire week. Volatility was low — the market traded within a range of around 9 points between a high of 1,679.28 and a low of 1,670.73.

"On the daily chart, despite key indicators, namely MACD (moving average convergence divergence), RSI (relative strength index) & Stochastic trading in bullish territories, note that they are beginning to overextend on the upside, hence a pullback may be in the cards in the very near future.

"Anticipate the index to move sideways with upward bias," it said.