KUALA LUMPUR (July 2): The FBM KLCI pared some of its gains at the midday break today, against the backdrop of wobbly regional markets, as local investors took profit after the local bourse kicked off the second half of 2019 on a strong footing.

At 12.30pm, the FBM KLCI was up 5.21 points to 1,688.83. The index had earlier risen to a high of 1,694.55.

Losers overtook gainers by 306 to 252, while 560 counters traded unchanged. Volume was 1.61 billion shares valued at RM1.2 billion.

The gainers included Nestle (M) Bhd, Hong Leong Financial Group Bhd, Petronas Dagangan Bhd, Hong Leong Bank Bhd, Pos Malaysia Bhd, KESM Industries Bhd, Telekom Malaysia Bhd, Aeon Credit Service (M) Bhd and Malaysia Airports Holdings Bhd.

The actives included KNM Group Bhd, Compugates Holdings Bhd, Ekovest Bhd, Bumi Armada Bhd, Iskandar Waterfront City Bhd, Prestariang Bhd, Wegmans Holdings Bhd and Sapura Energy Bhd.

The decliners included Dutch Lady Milk Industries Bhd, Time Dotcom Bhd, Kobay Technology Bhd, Khind Holdings Bhd, Petronas Chemicals Group Bhd, Mesiniaga Bhd, Can-One Bhd, Genting Plantations Bhd, Kuala Lumpur Kepong Bhd and Malaysian Pacific Industries Bhd.

Asian shares wobbled on Tuesday, US Treasury yields fell and gold rose as weak global manufacturing activity reinforced worries about slowing growth while uncertainties over the prospect of a Sino-US trade deal also hurt sentiment, according to Reuters.

US President Donald Trump said on Monday that any trade deal with China would need to be "somewhat tilted" in favour of the United States. The US government also threatened tariffs on US$4 billion of additional European Union goods in a long-running dispute over aircraft subsidies, it said.

CIMB Retail Research said the FBM KLCI kick-started the second half of 2019 on a positive note after the US and China's presidents reached a trade truce and agreed to resume trade talks following the G-20 meeting.

It said the index is likely to trade higher after it closed above the 200-day exponential moving average (EMA) yesterday.

"However, according to the latest breaking news this morning, Trump has proposed new tariffs on European goods with a trade value of about US$4 billion.

"Hence, some profit-taking activities may set in today. Resistance: 1,700 & 1,707. Support: 1,682 & 1,671," it said.