KUALA LUMPUR (May 29): The FBM KLCI started its final trading day of May on a sombre note as it opened lower, tracking regional markets following the overnight decline at Wall Street, while Petronas-linked stocks dragged.

At 9.10am, the FBM KLCI fell 6.81 points to 1,450.69.

The early decliners included Nestle (M) Bhd, Kuala Lumpur Kepong Bhd, Petronas Dagangan Bhd, Genting Plantations Bhd, Fraser & Neave Holdings Bhd, Petronas Gas Bhd, Heineken Malaysia Bhd, Ornapaper Bhd and Hartalega Holdings Bhd.

The early gainers included Nestle (M) Bhd, Top Glove Corp Bhd, Hartalega Holdings Bhd, Supermax Corp Bhd, Petronas Dagangan Bhd, Kossan Rubber Industries Bhd, Heineken Malaysia Bhd and United Plantations Bhd.

Bloomberg said Asian stocks opened modestly lower after a rally in U.S. equities fizzled on fresh U.S.-China tensions. The dollar held losses.

Sentiment is being tested as global equities round out a second month of gains, with President Donald Trump saying he’ll announce new U.S. steps on China on Friday, after it passed a national security law curbing freedoms in Hong Kong. Japanese shares dipped modestly along with those in Seoul and Sydney. U.S. contracts slid after the gauge gave up a gain of more than 1%, with the announcement stoking concern Sino-American tensions will disrupt the economic reopening narrative that’s propelled markets. Treasuries were steady, it said.

JF Apex Securities Research said US markets decline overnight due to higher-than-expected jobless claims and rising tension between the US and China.

It said that earlier, European stocks advanced after the European Commission's plan for a 750 billion euro stimulus fund.

“On the local market, the FBM KLCI gained 5.77 points to 1457.50 points.

“Following the mixed performances in the US and Europe, the FBM KLCI could remain sideways below the resistance of 1460 points,” it said.

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