No buy-the-dip for STI; most Asian markets rally

SINGAPORE stock market was one of the rare few in Asia that closed in the red on Monday, when even China managed to shrug off its lacklustre industrial activity data to go higher as investors were in the "buy the dips" mode.

The city-state's blue-chip gauge, the Straits Times Index (STI), dropped 0.18 per cent or 5.72 points to 3,161.22 points, after regaining some lost grounds.

Aztech Global dipped 3.94 per cent to S$1.22 on Monday, as DBS and CGS-CIMB lowered their target prices to S$1.74 and S$1.82 respectively. It was despite them furnishing calls of "buy" and "add" for the technology solutions provider.

The analysts were concerned about the mainboard-listed firm's operational risks arising from component shortages. Aztech reported net profits for the first half of the financial year more than doubled to S$29.4 million.

iFast shares climbed 5.61 per cent to S$8.47 as the wealth management fintech platform reported that it had secured the prime subcontractor contract for Hong Kong pension project. Singapore Press Holdings, the publisher of The Business Times, owns a stake of over 14 per cent in iFast.

Approximately 88.4 million of Sembcorp Marine shares changed hands, making it the most active counter on Monday. It closed at S$0.116 or 0.87 per cent higher.

Decliners trailed advancers on the broader market at 245 to 257, with 1.5 billion securities worth S$1.13 billion transacted.

The FTSE Bursa Malaysia Kuala Lumpur Composite Index was the other benchmark that bucked the uptrend as it closed at 1,493 points, down 0.11 per cent.

Oanda's senior market analyst Jeffrey Halley said investors were in the buy-the-dips mode in other Asian markets.

Hang Seng and the Shanghai Composite were lower in early trade, but foreign investors subsequently pumped nearly a billion dollars down the Hong Kong to Shanghai/Shenzhen Connect, noted Mr Halley.

The Shanghai Composite Index was 1.97 per cent higher at 3,464.29 points, while its peer Hong Kong's Hang Seng index rose 1.06 per cent to 26,235.80 points. Japan's Nikkei 225 closed at 27,781.02 points or 1.82 per cent higher; Australia's S&P/ASX 200 came in at 7,491.40 points, 1.34 per cent higher. South Korea's Kospi climbed 0.65 per cent to 3,223.04 points.