US/MALAYSIA MARKET MORNING QUOTES

MALAYSIA MARKET

Malaysian stocks seen rising on Wall Street gains

KUALA LUMPUR, Nov 14 (Reuters) - Malaysian shares are likely to rise on Friday, after the Wall Street closed more than 6 percent higher overnight, as investors bought up beaten-down stocks despite more predictions of gloomy corporate earnings.

 A recovery in crude oil prices is also expected to benefit palm prices, and should be positive for plantation stocks, dealers said.

 But banking stocks are likely to stay under pressure following weak earnings announcements this week by the country's top two lenders, Maybank and

Bumiputra-Commerce.

 "The market should do well today after the surge in U.S. markets," said a dealer at a local brokerage house.

 Plantation firms, such as Sime Darby and IOI Corp, should gain following a recovery in crude oil prices, she said.

 Shares of fixed-line phone company Telekom Malaysia are likely to be in focus after the company reassured investors that its dividend policy remained unchanged despite posting third-quarter losses, said another dealer.

 "But banks may see some pressure after the disappointing results by leading banks, and on concerns regarding their outlook amid fears of rising NPLs and slowing loan growth," he said.

 On Thursday, Malaysia's second-largest lender, Bumiputra-Commerce Holdings, said net profit more than halved in the third quarter as weaker capital market conditions dragged down fee-based operations.

 It said the weaker earnings were also due to the absence of an one-off gain from the sale of a subsidiary in the same period last year.

US MARKET

Stocks Stage Huge Rebound; Dow Jumps 553 Points

Investors did an abrupt turnaround on Wall Street Thursday, muscling the Dow Jones industrial average up more than 550 points after driving it down near its lows for the year on a stream of negative economic and corporate news.

It's "a herd mentality," said Ryan Larson, senior equity trader at Voyageur Asset Management. "We started going higher — and you don't want to be the last one on the boat."

Many analysts had predicted the market would retest the multiyear lows it reached last month. They also still forecast volatility for some time to come, as Wall Street tries to rebuild from October's devastating losses and gauge the severity of the economy's downturn. During past recoveries from bear markets, a great deal of turbulence in the market became commonplace — so it's possible that Thursday's gains will get erased if more gloomy reports pour in.

According to preliminary calculations, the Dow rose 552.59, or 6.67 percent, to 8,835.25, after falling as low as 7,965.42 and rising as high as 8,876.