Market eases on Europe's turmoil

THERE were no surprises as the Straits Times Index (STI) fell 40.72 points or 1.2 per cent on Monday to 3,280.18, weighed down by the turmoil in Europe from Greece's financial problems. The loss was in tandem with losses in the Hong Kong Hang Seng Index (a 2.6 per cent drop) and the Shanghai Composite Index (3.3 per cent) as Greek worries outweighed moves by the China government over the weekend to shore up its plunging stock market.

Turnover in the Singapore market was a moderate 1.3 billion units worth S$1.02 billion. Excluding warrants, there were 93 rises versus 392 falls.

The selling had been widely expected, given news over the weekend that the Greek government had called a referendum on whether to accept the demands of its creditors, and the subsequent decision by the European Central Bank not to increase its emergency liquidity assistance to the country's banks.