Why KLCI down again?

The FBM KLCI dropped another 6 points to close at 1,430 points, created another lowest level in a year, since September 01, 2010.

Like yesterday, KLCI opened higher in the morning and then lost ground in the afternoon session.

One of the reason for the fall is investors took profit ahead of shorten trading week, as market will be closed tomorrow for the Malaysia Day holiday.

With markets sentiment so volatile, investors are not willing to keep too many stocks over longer weekend.

Another worry by investors is a statement made by World Bank President Robert Zoelick saying the world had entered a new economic danger zone and Europe, Japan and USA all needed to make hard decisions to avoid dragging down the world economy, this made investors uneasy.

Look like KLSE is going to miss going higher tomorrow as European markets are opened higher.