At 9.05am, the FBM KLCI was down 6.25 points to 1,571.89. Trading volume surged to 1.9 billion shares valued at RM465.09mil.
Kenanga Research noted that the domestic bourse has entered "an ecstatic phase amid the frenzied speculative buying activities".
However, it cautioned that the market sell-off may come rapidly as retail investors can cut their exposure to as low as they want unlike institutional investors who must stay invested to a certain minimum level.
"On the chart, the FBMKLCI – after briefly testing 1,550 last week – could slide to test this immediate support level again," it said in its technical outlook.
Meanwhile stocks leading the decliners included glove counters Hartalega
sliding 74 sen to RM18.40, Kossan falling 58 sen to RM18.40 and Rubberex dropping 41 sen to RM6.14.Meanwhile, world's largest glove manufacturer Top Glove shed 16 sen to RM27.98.
Several counters hit limit up including HWGB rising 31 sen to RM1.51, Adventa
jumping 31 sen to RM3.97 and Careplus surging 30 sen to RM4.60.Of the top active stocks, Borneo Oil
rose 1.5 sen to nine sen, Trive gained one sen to three sen and PHB added one sen to five sen.Meanwhile ,Reuters reported that oil prices climbed on hopes that US stimulus deal can be hammered out while Iraq pledged to deepen its crude oil supply cut.
WTI crude rose 49 cents to US$41.71 a barrel while Brent crude gained 40 cents to US$44.80 a barrel.