KUALA LUMPUR (Jan 19): The FBM KLCI erased all its gains earlier in the day and ended at its intra-day low, as the government’s RM15 billion Perlindungan Ekonomi dan Rakyat Malaysia (Permai) stimulus package was met with lukewarm response from investors.

The benchmark index, which rose to a high of 1,618.41, finished the day 7.64 points or 0.48% lower at 1,601.88.

Malacca Securities Sdn Bhd senior analyst Kenneth Leong told theedgemarkets.com that the market turned negative as investors remained cautious ahead of Bank Negara Malaysia's (BNM) decision on the overnight policy rate tomorrow. The continued increase in new Covid 19 cases has also dampened the market sentiment, said Leong.

Amid the negative sentiment, he expects the market to be range-bound tomorrow.

In a note today, CGS-CIMB said the stimulus package is broadly neutral for corporate earnings.

“We see a muted impact on the consumer sector as consumers will remain cautious in their spending, despite the Wage Subsidy Programme 3.0 and financial assistance from the government,” it said.

Across Bursa Malaysia today, 6.81 billion securities were traded for RM4.83 billion, compared with 7.17 billion securities worth RM4.31 billion yesterday.

Losers led gainers by 624 to 497, while 481 counters remained unchanged.

Technology counters, meanwhile, fell as investors took profit. KESM Industries Bhd, which sank 66 sen or 3.77% to RM16.84, and Unisem (M) Bhd, which dropped 38 sen or 4.85% to RM7.45, were among the top losers.

Glove makers also faced selling pressure, with Top Glove Corp Bhd slipping 21 sen or 3.31% to RM6.13, while Supermax Corp Bhd shed 34 sen or 5.09% to RM6.34 and Hartalega Holdings Bhd lost 16 sen or 1.29% to RM12.20.

Top gainers, on the other hand, included Carlsberg Brewery Malaysia Bhd, which rose 54 sen or 2.56% to RM21.64, and Nestle (M) Bhd, which climbed 50 sen or 0.36% to RM139.

Regionally, most Asian equities finished higher today as investors hope the economic growth in China would help drive growth in the region.

Japan's Nikkei 225 rose 1.39% to 28,633.46; South Korea’s Kospi gained 2.61% to 3,092.66; Hong Kong’s Hang Seng went up 2.7% to 29,642.28.