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Singapore Stock Market Overdue For Profit Taking

The Singapore stock market has moved higher in four straight sessions, gathering more than 40 points or 1.4 percent along the way. The Straits Times Index now sits just above the 3,110-point plateau although investors figure to cash in on Tuesday.

The global forecast for the Asian markets is murky, with interest rate concerns offset by support from crude oil prices. The European markets were mostly higher and the U.S. bourses were down and the Asian markets figure to split the difference.

The STI finished barely higher on Monday following mixed performances from the financial shares, property stocks and industrial issues.

For the day, the index rose 0.68 points or 0.02 percent to finish at 3,113.49 after trading between 3,110.39 and 3,124.62. Volume was 2.2 billion shares worth 1.4 billion Singapore dollars. There were 301 gainers and 210 decliners.

Among the actives, Ascendas REIT sank 0.67 percent, while CapitaLand Integrated Commercial Trust tumbled 0.94 percent, City Developments spiked 2.26 percent, Comfort DelGro climbed 1.31 percent, Dairy Farm International accelerated 1.79 percent, DBS Group shed 0.59 percent, Genting Singapore surged 4.83 percent, Keppel Corp added 0.19 percent, Mapletree Commercial Trust tanked 0.96 percent, Mapletree Logistics Trust plunged 1.01 percent, Oversea-Chinese Banking Corporation eased 0.09 percent, SATS soared 3.84 percent, SembCorp Industries rallied 1.08 percent, Singapore Airlines skyrocketed 7.60 percent, Singapore Exchange dropped 0.63 percent, Singapore Technologies Engineering advanced 0.51 percent, SingTel fell 0.40 percent, Thai Beverage jumped 1.48 percent, United Overseas Bank collected 0.11 percent, Wilmar International plummeted 1.37 percent, Yangzijiang Shipbuilding retreated 0.72 percent and CapitaLand, Singapore Press Holdings and Hongkong Land were unchanged.

The lead from Wall Street is negative as the major averages opened higher on Monday but faded as the day progressed and ended firmly in the red.

The Dow dropped 250.19 points or 0.72 percent to finish at 34,496.06, while the NASDAQ sank 93.34 points or 0.64 percent to close at 14,486.20 and the S&P 500 lost 30.15 points or 0.69 percent to end at 4,361.19.

Lingering concerns about the Federal Reserve scaling back its asset purchases weighed on Wall Street, as last Friday's disappointing job report is not seen as likely to dissuade the central bank from tapering.

Trading activity was somewhat subdued, however, as some traders remained away from their desks for Columbus Day, also known as Indigenous Peoples' Day.

Crude oil futures spiked Monday with falling inventories, the OPEC decision to stick with a gradual production increase, and the ongoing energy crunch supporting oil prices. West Texas Intermediate Crude oil futures for November rose $1.17 or 1.5 percent to $80.52 a barrel.

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