STI rebounds in tandem with HK, China

CONCERNS over whether the yuan's inclusion as a reserve currency would spark volatility in equity markets proved unfounded as stocks on Tuesday rose sharply after confirmation that China's currency has indeed been added to the International Monetary Fund's (IMF) Special Drawing Rights (SDR) basket.

With Hong Kong's Hang Seng Index jumping 1.8 per cent and stocks in China also firming, the Straits Times Index (STI) finished 14.32 points higher at 2,870.26.

Turnover amounted to 994 million units worth S$1.02 billion versus S$1.7 billion on Monday, and excluding warra…