FKLI Related News

NEW YORK, Oct 8 (Reuters) - U.S. stocks slipped in light trading on Monday, pulling back from recent five-year highs ahead of an earnings season expected to be weak. Trading volume was the lowest so far this year in a full session as the U.S. government and the bond market were closed for the Columbus Day holiday. About 4.1 billion shares changed hands on the New York Stock Exchange, the Nasdaq and NYSE MKT, compared with the year-to-date daily average of 6.54 billion to last Friday.

Analysts expect third-quarter earnings to fall for the first time in three years even though the S&P 500 gained 5.8 percent during that period. Such a grim forecast might call into question whether the rally can be sustained. The Dow Jones industrial average fell 26.50 points, or 0.19 percent, to 13,583.65 at the close. The S&P 500 lost 5.05 points, or 0.35 percent, to 1,455.88. The Nasdaq Composite dropped 23.83 points, or 0.76 percent, to end at 3,112.35.

Stocks were pressured throughout the day as the World Bank cut its growth forecasts for the East Asia and Pacific region, and warned that the slowdown in China could worsen and last longer than many analysts expect. Further weighing on sentiment, euro-zone finance ministers said Spain did not need a bailout because it was taking steps to put its finances in order. Expectations that Madrid would ask for financial aid have helped support equities and other risky assets over the past several weeks.

Analysts forecast third-quarter earnings of S&P 500 companies will fall 2.3 percent from the year-ago quarter, according to the latest Reuters data. According to Thomson Reuters data through Monday, 91 companies in the S&P 500 have issued negative outlooks versus 21 positive pre-announcements, for a ratio of 4.3, the weakest showing since the third quarter of 2001. Apple Inc shares fell 2.2 percent to $638.17, ranking as the biggest drag on both the S&P 500 and the Nasdaq 100 despite denials of a strike at one of its manufacturing plants.

Oil prices eased on Monday in choppy trading on concerns that slower economic growth in China and the debt crisis in Europe will curb demand for petroleum, while the potential for Middle East turmoil to disrupt supplies limited losses. Oil closed down for a second straight day on Monday due to dim growth prospects for the global economy and on expectations for a weak U.S. corporate earnings reporting season.

Malaysian Shares are likely to continue its uptrend despite an overnight decline on Wall Street, after it survived previous correction and we are going to see more new highs form this week. Today’s Support and Resistance is located around 1658 and 1670 respectively.