FKLI Related News (Wed, Apr 3)

NEW YORK (Reuters) - Stocks rose on Tuesday, led by the healthcare sector after a government decision on payment rates, while factory orders data confirmed the economy is steadily improving. The S&P 500 closed at another record high, though it fell short of breaking above its all-time intraday high of 1,576.09. The Dow also ended at another record high. The U.S. government dropped plans to cut payments for private Medicare Advantage insurers and instead said it would allow a 3.3 percent raise. The news boosted shares of some health insurers, including Humana, which derives about two-thirds of its revenue from Medicare Advantage business.

Humana's stock jumped 5.5 percent to $79.11 and was among the biggest percentage gainers on the S&P 500. UnitedHealth Group gained 4.7 percent to $61.74, while the S&P 500 healthcare sector index jumped 1.4 percent. For the day, the Dow Jones industrial average was up 89.16 points, or 0.61 percent, at 14,662.01. The Standard & Poor's 500 Index was up 8.08 points, or 0.52 percent, at 1,570.25. The Nasdaq Composite Index was up 15.69 points, or 0.48 percent, at 3,254.86. The S&P 500 surpassed its 2007 closing high last Thursday, while the Dow first broke above its 2007 record on March 5. Other big gainers in the healthcare sector included shares of Cigna, up 2.9 percent at $64.75.

Most investors expect moves to be limited this week before Friday's U.S. monthly payrolls report. The March jobs report could give clues on how successful the Federal Reserve has been in lowering unemployment, one of the primary headwinds for the economy. About 200,000 jobs were created last month, according to a Reuters poll, down from 236,000 in February. The unemployment rate is expected to come in at 7.7 percent, unchanged from the previous period, the poll showed. In an effort to bring down the unemployment rate, the Fed has maintained an accommodative monetary policy, which has also benefited stocks.

Overseas, Cyprus concluded bailout talks. The deal, which still requires ratification, would mean the country receives a 10 billion euro loan and will have until 2018 to carry out measures to shore up its finances. The country's finance minister resigned after concluding the deal.

Stocks on Bursa Malaysia ended broadly higher yesterday in active trading on strong investor buying support. Regional bourses, however, were mixed as investors were cautious of the US economic growth data. FKLI spot month contract opened higher this morning at 1,684 following Wall Street’s rally to new highs.

Today’s Support and Resistance for April contract is located around 1,620 and 1,686 respectively.