Analysts expect impact of Phase 2 restrictions to be short-lived

Singapore

ANALYSTS expect last week's sell-off in response to Phase 2 (Heightened Alert) measures to be a short-term trend, as long as the restrictions are lifted on schedule.

UOB Kay Hian (UOBKH) said the share price declines on Friday were likely a "knee-jerk reaction", and recommends that investors focus on companies with strong business franchises and those with the majority or all of their earnings from overseas.