Bank selloff drags STI below 3,300

THE Straits Times Index (STI) fell 8.85 points on Tuesday to 3,292.15 in a subdued trading session that closely resembled Monday's - when the index first rose in response to a triple-digit gain in the Hang Seng, but, as the Hong Kong index lost almost all of its ground as the day progressed, so did the STI.

Turnover here was average by recent standards at 1.15 billion units worth S$989 million, but low if a longer time frame is used. Excluding warrants, there were 150 rises versus 242 falls.

A dealer said: "The trading screens are not blinking at all. That's how quiet things have become." This has been a common complaint from dealers for many months now, with volumes having dried up following the end of the US Federal Reserve's quantitative-easing programme in October.