Singapore shares dip; STI down 0.1% on cautious sentiment

[SINGAPORE] Both Straits Times Index (STI) and the iEdge Singapore Next 50 Index finished lower on Friday (Dec 5), as concerns on the US economy continued to weigh on local stocks.

The STI, Singapore’s blue-chip barometer, dipped less than 0.1 per cent or 3.78 points to 4,531.36 points.

The iEdge Singapore Next 50 Index slid 0.5 per cent or 7.54 points to 1,440.75 points.

Across the broader market, decliners trailed gainers 236 to 301. About 976.9 million of securities valued at nearly S$1.2 billion were transacted.

The slight drop in the STI reflected a cautious trading day driven mainly by global worries, said Charmaine Tan, research analyst of the research & portfolio management team at FSMOne Singapore.

She noted that the decline in US private-sector employment was unexpected and raised concerns that the US economy may be slowing. This has led investors in Asia, including Singapore, to take a more cautious approach. 

Asia had a mixed showing. The FTSE Bursa Malaysia KLCI and Jakarta Composite Index were among those that slipped, but Shanghai Composite Index and South Korea’s Kospi Index rose.

Over in Singapore, Frasers Property share price achieved a 52-week high at S$1.10, after rising 2.8 per cent or S$0.03. The property developer’s last regulatory filing on Nov 28 reported on the redeeming of perpetual securities worth S$300 million.

Wee Hur rose 0.7 per cent or S$0.005 to S$0.715, a day after the developer announced a seven-party joint venture to develop its land parcel in Upper Thomson Road. WH Property, a wholly owned subsidiary, will take a controlling 50 per cent stake. The tender was awarded at a sale price of about S$614 million, for a lease term of 99 years.

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