Malaysian stocks seen up, Tenaga set to rise

KUALA LUMPUR, June 6 (Reuters) - Malaysian stocks are
likely to rise on Friday, recovering from a steep fall in the
previous session, boosted by plantation stocks, and as upbeat
U.S. data boosted optimism in the strength of the world's top
economy.

Power distributor Tenaga Nasional's (TENA.KL) is set to
rise as the stock resumes trading after unveiling a new tariff
structure.

"Tenaga will have a big bounce today, the share price could
easily go up by 40-50 sen," said a dealer from a foreign
brokerage.

Tenaga said on Thursday it will raise power tariffs by up
to 11 percent, a long-awaited relief for the dominant power
distributor, which is battling mounting fuel costs.

Plantation stocks, such as Sime Darby (SIME.KL) and IOI
Corp (IOIB.KL), are expected to stage a rebound as well,
dealers said.

On Thursday, the Kuala Lumpur Composite Index .KLSE had
its largest daily drop in nearly 12 weeks, falling 2.4 percent
to 1,223.56 points after government moves to raise fuel prices
heightened fears about inflation and slower growth.

The June futures index KLIM8 put the index at 1,217
points.

Here are news stories and factors that may affect the
Malaysian stock market on Friday.
------------------MARKET SNAPSHOT @ 23:54 GMT --------------

INSTRUMENT LAST PCT CHG NET CHG

S&P 500 .SPX 1,404.05 1.95% 26.850
USD/JPY JPY= 105.89 -0.03% -0.030 10-YR
US TSY YLD US10YT=RR 4.042 -- -0.002 SPOT GOLD

XAU= $878.55 0.14% 1.200

US CRUDE CLc1 $128.25 0.36% 0.440
DOW JONES .DJI 12604.45 1.73% 213.97 ASIA
ADRS .BKAS 166.85 1.56% 2.57
------------------------------------------------------------- >
US STOCKS-retailers, oil companies fuel market rally [.N]
> Oil posts record $6 gain on weak US dollar
[O/R] > FOREX-Trichet rate hike signal sparks broad euro rally
[USD/] > TREASURIES-Bonds fall on claims drop, Trichet comments
[US/] > Gold ends lower despite oil rally, weak dollar
[GOL/] > SEA Stocks-KL leads losses as inflation, politics
weigh [.SO] > Petronas sees delay in oil importer status
[ID:nKLR225582] > Tenaga sees profit fall despite price hikes
[ID:KLR148987] > What fuel price hikes mean for Malaysian
politics[ID:nSP190969] > Malaysia opposition to protest against
fuel hike[ID:nKLR122809] > Malaysia fuel hikes to drive up
inflation, rates [ID:nSP162272] > Malaysia c.bank chief says
rates on hold for now[ID:nKLR159939] > Malaysia tax hurts
palmoil firms, but not equally[ID:nSP201397] > Palm futures up
2.6 pct as vegetable oils gain [ID:nKLR208402] > Idaman says
Shriram declines to buy unit [ID:nKLR218333] > Mudajaya
wins $294 mln highway contract [ID:nKLA007629]

PETRONAS EXPECTS 15 PCT RISE IN GAS SUBSIDIES

State oil firm Petronas may have to fork out as much as 23
billion ringgit ($7.07 billion) in gas subsidies this year, up
15 percent from 2007, under the revised pricing for power
sector, The Edge Financial Daily quoted its chief executive
Mohd Hassan Merican as saying.
($1=3.255 Malaysian Ringgit)
(Reporting by Soo Ai Peng; Editing by Louise Heavens)