KUALA LUMPUR: Worries about China taking more measures to rein in its growth pushed key regional markets lower at the midday break on Monday, March 15 while at Bursa Malaysia, the FBM KLCI fell to the crucial 1,300 level.

The concern among investors in Malaysian equities was whether there would be another rate hike soon, after Bank Negara recently raised the overnight policy rate by 25 basis points to 2.25%.

At 12.30pm, the FBM KLCI fell 11 points to 1,300. Turnover was 323.5 million shares valued at RM475.84 million. Declining stocks beat advancers 414 to 152 while 219 stocks were unchanged.

Among key regional markets, Shanghai's Composite Index fell the most, down 1.16% to 2,978.51; Hong Kong's Hang Seng Index fell 0.9% to 21,026.92; Singapore's Straits Times Index eased 0.2% to 2,877.13 while Japan's Nikkei 225 shed 0.13% to 10,737.25.

Light crude oil fell 43 cents to US$80.81 and crude palm oil futures followed along, down RM24 to RM2,607. US spot gold rose US$2.71 to US$1,104.60.

Bloomberg reported China's moves to rein in growth might dampen the global economic recovery. Chinese Premier Wen Jiabao rebuffed calls for a stringer yuan while Morgan Stanley said it expected "multiple" increases in China bank-reserve ratio requirement.

At Bursa Malaysia, Genetec was the most active, down eight sen to 52.5 sen with 20.2 million shares done. It had proposed a bonus issue of 127 million shares on a one-for-one basis, which should not be viewed as a negative development for the conpany.

KKB was the top loser, down 34 sen to RM5.24, the lowest since March 5. The shares had run up recently after it announced a corporate exercise involving a bonus issue.

Ho Hup fell 27 sen to RM1.16 following the developments in the company with the Companies Commission of Malaysia preventing a substantial shareholder from, voting in a crucial meeting.

The latest was Kenanga Investment Bank, which is the independent adviser to the minority shareholders, who recommended they reject Ho Hup's 70%-owned Bukit Jalil Sdn Bhd's proposed disposal of the 10.865 acres of land to Permata Juang (M) Sdn Bhd for RM19.408 million.

CIMB fell 20 sen to RM13.64, Public Bank and PPB 14 sen each to RM11.68 and RM17.30 while Bursa lost 12 sen to RM7.62.

BCorp-LC rose four sen to RM1.04 with 16.15 million units done and the shares added two sen to RM1.52.

Kumpulan Euro added seven sen to 51.5 sen after a related company Talam Corp Bhd said it was settling RM241.36 million owing to Menteri Besar Selangor Inc.

Talam is settling the debts by disposal of properties and cash payment and it will result in the company recording losses of up to RM21.16 million.

Keck Seng rose 13 sen to RM5.46, Eng Tek 12 sen to RM2.87, United Plantations 10 sen to RM13.80 and Astro eight sen to RM3.56. Mah Sing added six sen to RM1.91.