Singapore Stock Market Tipped To Bounce Higher On Thursday

The Singapore stock market has finished lower in two of three trading days since the end of the two-day winning streak in which it had added more than a dozen points or 0.4 percent. The Straits Times Index now sits just beneath the 3,050-point plateau although it figures to rebound on Thursday.

The global forecast for the Asian markets is upbeat, riding a surge in crude oil prices. The European and U.S. markets were solidly higher and the Asian bourses are expected to open in similar fashion.

The STI finished modestly lower on Wednesday following losses from the financials and mixed performances from the properties and industrials.

For the day, the index shed 15.15 points or 0.49 percent to finish at 3,048.05 after trading between 3,037.79 and 3,058.68. Volume was 1.62 billion shares worth 1.22 billion Singapore dollars. There were 200 decliners and 169 gainers.

Among the actives, CapitaLand Integrated Commercial Trust spiked 2.44 percent, while City Developments skidded 0.97 percent, Comfort DelGro shed 0.65 percent, Dairy Farm International advanced 0.87 percent, DBS Group tumbled 1.18 percent, Genting Singapore dropped 0.58 percent, Keppel Corp plunged 1.52 percent, Mapletree Logistics Trust fell 0.48 percent, Oversea-Chinese Banking Corporation retreated 0.87 percent, SATS gained 0.50 percent, SembCorp Industries jumped 1.67 percent, Singapore Airlines dipped 0.40 percent, Singapore Exchange lost 0.50 percent, Singapore Press Holdings added 0.52 percent, Singapore Technologies Engineering climbed 1.31 percent, Thai Beverage declined 0.77 percent, United Overseas Bank tanked 1.25 percent, Wilmar International sank 0.73 percent, Yangzijiang Shipbuilding plummeted 2.80 percent and Ascendas REIT, CapitaLand, Mapletree Commercial Trust and SingTel were unchanged.

The lead from Wall Street is solid as the major averages opened higher on Wednesday and remained in the green throughout the session.

The Dow spiked 3.38 points or 1.00 percent to finish at 34,258.32, while the NASDAQ jumped 150.45 points or 1.02 percent to end at 14,896.85 and the S&P 500 perked 41.45 points or 0.95 percent to close at 4.395.64.

The early rally on Wall Street came as traders picked up stocks at reduced levels following the slump seen during the month of September.

Stocks held on to strong gains even as the Federal Reserve hinted tapering of its asset purchases could begin in the near future amid continued progress towards it goals of maximum employment and price stability.

During his post-meeting press conference, Fed Chair Jerome Powell indicated the central bank could begin tapering its asset purchases as soon as its next meeting in early November.

Crude oil prices climbed on Wednesday after data showed a larger than expected drop in U.S. crude stockpiles last week. West Texas Intermediate crude oil futures for November ended up $1.74 or 2.5 percent at $72.23 a barrel.

Closer to home, Singapore will release August figures for consumer prices later today; in July, overall inflation was down 0.2 percent on month and up 2.5 percent on year, while core CPI rose an annual 1.0 percent.

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