Singapore Bourse May Reverse Monday's Losses

The Singapore stock market turned lower again on Monday, one session after it had halted the two-day slide in which it had fallen almost 45 points or 1.8 percent. The Straits Times Index now rests just beneath the 2,575-point plateau although it figures to bounce higher again on Tuesday.

The global forecast for the Asian markets is upbeat as hopes for a solid economic recovery outweighed a rising number of coronavirus cases worldwide. The European and U.S. markets were up and the Asian bourses are tipped to follow suit.

The STI finished sharply lower on Monday following losses from the financial shares, property stocks and industrial issues.

For the day, the index tumbled 30.41 points or 1.17 percent to finish at 2,574.10 after trading between 2,572.23 and 2,598.06. Volume was 2.48 billion shares worth 1.03 billion Singapore dollars. There were 297 decliners and 179 gainers.

Among the actives, Yangzijiang Shipbuilding plummeted 3.14 percent, while Comfort DelGro plunged 2.63 percent, SATS tumbled 2.35 percent, CapitaLand Mall Trust tanked 2.00 percent, Wilmar International skidded 1.92 percent, Singapore Airlines and Singapore Exchange both retreated 1.83 percent, City Developments declined 1.66 percent, SembCorp Industries surrendered 1.62 percent, SingTel sank 1.61 percent, Mapletree Commercial Trust dropped 1.54 percent, Singapore Technologies Engineering shed 1.51 percent, Keppel Corp lost 1.49 percent, DBS Group and Oversea-Chinese Banking Corporation both fell 1.44 percent, United Overseas Bank slid 1.33 percent, CapitaLand Commercial Trust dipped 1.16 percent, Mapletree Logistics Trust slipped 1.02 percent, Singapore Press Holdings erased 0.77 percent, Thai Beverage eased 0.73 percent, CapitaLand was down 0.70 percent, Genting Singapore added 0.66 percent and Ascendas REIT was unchanged.

The lead from Wall Street is broadly positive as stocks shook off a soft open Monday to move solidly into the green, offsetting losses from the previous session.

The Dow surged 580 points or 2.32 percent to finish at 25,595.80, while the NASDAQ spiked 116.93 points or 1.20 percent to end at 9,874.15 and the S&P 500 soared 44.19 points or 1.47 percent to close at 3,053.24.

The soft open on Wall Street was in response to rising numbers of new cases of coronavirus in the U.S. and several other parts across the globe. Data from Johns Hopkins University showed the number of coronavirus cases worldwide has surpassed 10 million, while the global death toll from the pandemic rose to more than 500,000.

But the markets rebounded when the National Association of Realtors said that pending home sales in the United States surged a record 44.3 percent in May. Also, the Dallas Fed's manufacturing index fell less than expected, further stoking optimism for economic recovery.

Crude oil prices climbed higher Monday despite concerns about the outlook for energy demand amid the spike in the virus. West Texas Intermediate crude futures for August ended up $1.21 or 3.1 percent at $39.70 a barrel.

Closer to home, Singapore will provide May data for bank lending later today; in April, the lending total was SGD689.7 billion.

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