KUALA LUMPUR, Nov 1 — Bursa Malaysia opened lower today, as traders continued to digest Budget 2022 which was tabled on Friday.

At 9.05am, the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) dropped 24.97 points to 1,537.34 from Friday's close of 1,562.31.

It opened 16.32 points lower at 1,545.87.

On the broader market, losers thumped gainers 566 to 55, while 199 counters were unchanged, 1,454 untraded and 14 others suspended.

Turnover amounted to 424.16 million units worth RM232.89 million.

In a research note, Malacca Securities Sdn Bhd said the FBM KLCI declined significantly amid continued selling activities prior to the tabling of Budget 2022 on Friday.

Although the budget was viewed as expansionary, it said the surprise of the one-off "Cukai Makmur” and contract notes stamp duty changes for listed share trading may offset the goodies presented, at least for the near term.

"This might lead to a knee-jerk reaction selling pressure on FBM KLCI and broader market today.

"Nevertheless, we expect bargain-hunting activities to emerge once the market players look beyond the one-off tax and focus on the economic recovery tone going forward,” the brokerage house said.

Commodity-wise, the crude plam oil (CPO) price rebounded above the RM5,000 level, while the crude oil price was mildly higher.

For sector focus, Malacca Securities said following the rally in the healthcare sector on Friday, the traders are expected to refocus on Budget 2022 beneficiaries.

The recipients sectors include consumer, automotive, telecommunications, technology, tourism, and electric vehicles related counters, it added.

Among the heavyweights, Maybank shed two sen to RM8.03, Public Bank fell 12 sen to RM4.05,  Petronas Chemicals dropped 14 sen to RM8.55, IHH Healthcare slipped eight sen at RM6.46, and Tenaga eased three sen at RM9.36.

Of the actives, AirAsia X reduced two sen to 7.5 sen, KNM Group slid one sen to 19.5 sen, while MMAG, EA Holdings and Tanco were flat at 10.5 sen, two sen and 26.5 sen, respectively.

On the index board, the FBM Emas Index decreased 174.19 points to 11,384.81, the FBMT 100 Index dropped 167.02 points to 11,022.07, the FBM 70 went down 182.42 points to 15,119.95, the FBM Emas Shariah Index declined 166.29 points to 12,425.30, and the FBM ACE reduced 66.85 points to 7,029.32.  

Sector-wise, the Industrial Products and Services Index eased 2.75 points to 204.04, the Plantation Index dipped 116.07 points to 6,672.75, and the Financial Services Index tumbled 325.95 points to 15,263.26.  — Bernama