Singapore shares open higher on Monday; STI up 0.7%
SINGAPORE stocks opened higher on Monday (Jul 18), tracking Wall Street gains.
The Straits Times Index (STI) rose 0.7 per cent or 21.56 points to 3,120.71 as at 9.01 am. Advancers outnumbered decliners 96 to 36 after 30.5 million securities worth S$39 million changed hands.
Index stock Genting Singapore was the top traded counter by volume, down 3.1 per cent or S$0.025 at S$0.78 with some 3.8 million shares traded in the morning, after the group had called for a trading halt on Friday.
It said on Sunday that it is not aware of nor involved in any ongoing discussions on a potential transaction involving the company. This came after a Bloomberg report that US rival MGM Resorts International had recently approached the company’s controlling shareholder to express its interest in a deal.
Singapore Post was also heavily traded, falling 2.3 per cent or S$0.015 to S$0.63 after 2.9 million shares changed hands.
On Friday, the group said it will deliver an operating loss for its post and parcel business for the first quarter to June, due to a significant increase in costs as well as a lower delivery volume from a major e-commerce customer.
While it said the logistics and property units were doing well, the group flagged pressure faced by its international postal business.
Index counters Thai Beverage and Yangzijiang Shipbuilding were also among the top traded counters.
Thai Beverage was flat at S$0.655 after 3.3 million shares changed hands; Yangzijiang Shipbuilding’s share price was also unchanged at S$0.89 after it saw 1.2 million shares traded at the open.
The trio of local banks were all up in early trade. As at 9.01 am, DBS gained 1.2 per cent or S$0.36 to S$30.03, UOB opened 1.2 per cent or S$0.30 higher at S$26.34 and OCBC was up 1.2 per cent or S$0.13 at S$11.35.
In the US, Wall Street stocks rose sharply to close higher on Friday, ending several days of sell-offs with a rebound fuelled by upbeat earnings, strong economic data and easing fears of a larger-than-expected interest rate hike by the Federal Reserve.
All 3 major US stock indices posted solid gains. The S&P 500 and the Dow both snapped 5-day losing streaks.
The Dow Jones Industrial Average rose 658.09 points, or 2.2 per cent, to 31,288.26, the S&P 500 gained 72.78 points, or 1.9 per cent, at 3,863.16 and the Nasdaq Composite added 201.24 points, or 1.8 per cent, at 11,452.42.
Over in Europe, shares also rebounded on Friday after the shifting US situation, a political crisis in Italy and recession risks.
The pan-European Stoxx 600 index ended 1.8 per cent higher after falling 2.6 per cent in the last 2 sessions on US interest hike worries.
Elsewhere in Asia, the Tokyo stock exchange was closed on Monday for the Marine Day holiday.
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