STI to sway to earnings, US Fed chief pick

MARKET sentiment seems to have entered a rather blithe phase even though investors have demonstrated the ability to be fickle. The Straits Times Index (STI) generally tracks the Dow futures closely, but sometimes it may change course.

Reactions to key events may be selective, as evident from last Thursday's session when the STI chalked up gains even as the Dow futures was down by more than 100 points at about 4.30pm. The Singapore index was mainly supported by optimism arising from China's growth data and bullish views on banking and property stocks.

Mostly though, markets are typically driven by the strength of global growth, as head of Phillip Securities Research Paul Chew says.