(fxcue news) - The Malaysia stock market bounced higher again on Friday, one session after halting the three-day winning streak in which it had rallied almost 40 points or 2.4 percent. The Kuala Lumpur Composite Index now sits just beneath the 1,680-point plateau and it's looking at another green light for Monday's trade. The global forecast for the Asian markets is upbeat on optimism over the outlook for interest rates. The European markets finished slightly lower and the U.S. bourses were up and the Asian markets are tipped to follow the latter lead. The KLCI finished sharply higher on Friday following gains from the financial shares, telecoms, power companies and plantations. For the day, the index jumped 25.25 points or 1.53 percent to finish at 1,678.80 after trading between 1,651.10 and 1,679.85. Among the actives, Axiata gathered 0.39 percent, while Celcomdigi advanced 1.04 percent, CIMB Group jumped 2.50 percent, Genting picked up 0.23 percent, Hong Leong Bank and Petronas Dagangan both slipped 0.28 percent, IHH Healthcare shed 0.32 percent, IOI Corporation climbed 2.03 percent, Kuala Lumpur Kepong was up 0.18 percent, Maxis fell 0.26 percent, Maybank collected 0.94 percent, MISC sank 0.71 percent, MRDIY increased 1.48 percent, Petronas Chemicals gained 0.52 percent, PPB Group improved 1.81 percent, Press Metal plunged 3.50 percent, Public Bank rallied 2.55 percent, QL Resources rose 0.46 percent, RHB Capital perked 0.33 percent, Sime Darby strengthened 2.06 percent, SD Guthrie eased 0.22 percent, Sunway accelerated 2.76 percent, Telekom Malaysia added 0.75 percent, Tenaga Nasional spiked 5.02 percent, YTL Corporation soared 5.45 percent, YTL Power surged 6.01 percent and Genting Malaysia was unchanged. The lead from Wall Street is solid as the major averages opened higher on Friday, faded midday but rallied going into the close. The Dow climbed 228.03 points or 0.55 percent to finish at a fresh record 41,563.08, while the NASDAQ spiked 197.20 points or 1.13 percent to end at 17,713.62 and the S&P 500 gained 56.44 points or 1.01 percent to close at 5,648.40. For the week, the NASDAQ shed 0.9 percent, the Dow added 0.9 percent and the S&P rose 0.2 percent. The higher close on Wall Street followed the Commerce Department report on U.S. consumer price inflation that is said to be preferred by the Federal Reserve. The report showed consumer prices increased in line with estimates in July, while the annual rate of price growth was unexpectedly flat. While the data has reinforced expectations of an interest rate cut by the Fed this month, traders expressed uncertainty about the pace of rate cuts, leading to some volatility in the markets. According to CME Group's FedWatch Tool, there is a 69.5 percent chance of a quarter-point rate cut next month and a 30.5 percent chance of a half-point rate cut. Crude oil showed a significant move to the downside on Friday on reports that OPEC is set to proceed with a planned oil output hike from October. West Texas Intermediate crude for October delivery plunged $2.36 or 3.1 percent to $73.55 a barrel.