KUALA LUMPUR: Blue chips slipped in early trade on Tuesday, Dec 8 in line with the weaker key regional markets as worries about the US economy's recovery weighed on investors' sentiment.

At 10am, the FBM KLCI was down 1.62 points to 1,263.74. Turnover was 118.79 million shares valued at RM81.53 million. There were 119 gainers, 153 losers and 173 stocks unchanged.

Japan's Nikkei 225 fell 0.5% to 10,116.35 as the Cabinet set to approve a ¥7.2 trillion (RM270.3 billion) stimulus package.Hong Kong's Hang Seng Index opened 0.4% lower at 22,244.63 and Shanghai's Composite Index fell 0.71% to 3,308.34 but Singapore's Straits Times Index bucked the region, rising 0.19% to 2,802.42.

Hwang DBS Vickers Research said investors who are looking for guidance in Tuesday's trade may be left directionless as the performance on Wall Street was flattish last night given that its key barometers ended between +0.01% and -0.025%.

"Investors speculated that the economy is not growing fast enough to shield banks from losses on commercial real estate coupled with the statement made by Ben Bernanke that the US faces formidable headwinds, dampened sentiments.

"Our benchmark FBM KLCI may continue its range-bound pattern today, perhaps on a slight negative bias on a backdrop of no fresh leads from overseas as well as locally. Supporting this view is the spot month FBM KLCI futures which traded at 7.86 points below the FBM KLCI closing yesterday. The immediate support line is seen at 1,255," it said.

BAT fell 24 sen to RM43.62, extending it losses as it braces for an adverse impact from the withdrawal of the packs below 20 by June next year. Hume Industries fell six sen to RM3.72, MPI and UMW five sen each RM5.35 and RM6.30.

Tanco was the most active with 9.34 million shares done, up five sen to 14 sen. ECM Libra's stronger third quarter earnings saw the share price rising 3.5 sen to 66.5 sen in active trade.
Fajar-WA was the top gainer, rising 14.5 sen to 68.5 sen but with 11,000 units done while the shares added six sen to RM1.08 on hopes it could secure part of the extension for the Klang Valley light rail transit project.

MISC and MISC-OR rose 13 sen each to RM8.88 and RM8.69 on a more positive outlook for the shipping sector while BHIC added 13 sen to RM4.94.