KUALA LUMPUR, Sept 10 (Reuters) - Malaysian stocks are set
to fall on Wednesday, dragged lower by plantation stocks, such
as Sime Darby, after crude palm oil prices fell sharply.
Growing political uncertainty and a steep fall on Wall
Street after investment bank Lehman Brothers LEH.N plummeted
on capital fears will keep many investors to the sidelines.
Plantation stocks, including Malaysia's biggest listed firm
Sime Darby (SIME.KL), as well as IOI Corp (IOIB.KL), and KL
Kepong (KLKK.KL) are set to extend Tuesday's fall.
"Planters are likely to see more pressure today as palm oil
prices are expected to fall further owing to weaker crude oil,"
said a brokerage house dealer.
Another dealer said investors were likely to stay cautious
owing to the uncertainty clouding the political scenario in
Malaysia, which has already led to foreigners ditching stocks.
Malaysian opposition leader Anwar Ibrahim will make his
second appearance in court later on Wednesday over fresh sodomy
charge.
Anwar, a former deputy premier, said the charge is
political motivated, aimed at derailing his plan to end the
ruling coalition's 50-year reign by wooing more than 30
government defactors by Sept.16.
Malaysia's benchmark stock index .KLSE ended 0.7 percent
lower on Tuesday at 1,068.55 points. The index futures contract
for October delivery KLIV8 puts the index at 1,044.5 points.
Here are news stories and factors that may affect the
Malaysian stock market on Wednesday.
----------------------MARKET SNAPSHOT @ 2353 GMT ------------
INSTRUMENT LAST PCT CHG NET CHG
S&P 500 .SPX 1224.51 -3.41% -43.280
USD/JPY JPY= 106.99 0.11% 0.120
10-YR US TSY YLD US10YT=RR 3.576 -- 0.004
SPOT GOLD XAU= 766.75 -1.29% -10.000
US CRUDE CLc1 102.44 -0.79% -0.820
DOW JONES .DJI 11230.73 -2.43% -280.01
ASIA ADRS .BKAS 126.58 -4.11% -5.42
------------------------------------------------------------- >
Malaysia's government rocked by ethnic row [ID:nKLR235725]
> Malaysia sees $11.65 bln manufacturing FDIs
[ID:nKLR48497] > Malaysia's Maybank cuts price for Vietnam buy
[ID:nKLA007910] > Malaysian palm oil prices seen at $700/t-Fry
[ID:nSGE000047] > Malaysia to sell 2 bln rgt govt bonds Sept
15 [ID:nKLA007909] > Malaysian July industrial output seen
rising [ID:nKLR51471] > Palm oil futures fall nearly 5 pct
on crude, soy[ID:nJAK176692] > SE Asian Stocks-Palm slide
weighs on commods, planters [.SO] > US STOCKS-Fears on
Lehman, financials send market into skid[.N] > U.S. oil prices
drop to near $102 a barrel [O/R] > FOREX-Dollar
slides vs yen; Lehman re-ignites credit woes[USD/] >
TREASURIES-Mortgage-related buying, safety bid boost bonds[US/]
> Gold slides to 1-month low, PGMs at long-term lows
[GOL/]
(Reporting by Faisal Aziz; Editing by Louise Heavens)
