KUALA LUMPUR: Bursa Malaysia closed the morning session in the red, reflecting the broader regional trend influenced by a significant sell-off on Wall Street overnight.

At 12.30pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) fell 5.71 points to 1,536.82 from Monday's close of 1,542.53. 

The benchmark index opened 1.45 points down at 1,541.08.

On the broader market, decliners outnumbered gainers 1,153 to 124, while 257 counters were unchanged. 

Turnover amounted to 3.49 billion units worth RM2.02 billion.

In a note today, Malacca Securities Research said it believes that the market could be pricing in a lower probability of interest rate cuts going forward. 

It noted that the Federal Open Market Committee (FOMC) meeting in 2024 has less than a 50 per cent probability of cutting rates. Additionally, the firm stated that selling pressure may persist over the near term due to uncertainty in the Middle East. 

"Negative sentiment on Wall Street could also impact stocks on the local front.  "Meanwhile, the commodity-related sectors such as oil and gas (O&G) and gold should still be in traders' radar. 

"We like stocks under the solar-theme as Solarvest Holdings Bhd will be installing Malaysia's largest solar system at 1Utama mall, which could provide buying flow towards the whole sector," it said.