Singapore shares open stronger on Wednesday; STI up 0.6%

SINGAPORE stocks started Wednesday (Jul 6) on a positive note following mixed closings on US markets, as Treasury bond yields fell further below 3 per cent to stoke recession fears.

As at 9.02 am, the Straits Times Index (STI) gained 0.6 per cent or 16.94 points to 3,121.05. Gainers outnumbered losers 77 to 33 after 81.4 million securities worth S$58.4 million changed hands.

Food and beverage group LifeBrandz was the top traded counter by volume, holding steady at S$0.003 after 32.8 million of its shares changed hands at the open.

This was followed by Sembcorp Marine , which dipped 0.9 per cent or S$0.001 to S$0.105 with 10.2 million shares traded.

Index counter CapitaLand Integrated Commercial Trust fell 0.5 per cent or S$0.01 to S$2.06 with 4.7 million shares changing hands, making it the third most actively traded counter in the morning.

The trio of local banks were a sea of green at Wednesday’s open. DBS and UOB each gained 0.8 per cent or S$0.23 and S$0.20, to S$30.30 and S$26.82 respectively. OCBC rose 0.6 per cent or S$0.07 to S$11.43.

Over in the US, 2 out of 3 major indices finished Tuesday higher after equities rallied in the afternoon, as tech shares were buoyed by hopes of less-severe interest rate hikes in light of a weaker economic outlook.

The tech-rich Nasdaq Composite Index ended up 1.8 per cent at 11,322.24, while the broad-based S&P 500 added 0.2 per cent to 3,831.47. The Dow Jones Industrial Average declined 0.4 per cent to 30,967.82 as recession fears pounded petroleum-linked equities.

European stocks slid on Tuesday as soaring energy prices fuelled inflation worries, sending the euro sinking on recession concerns.

SEE ALSO

Singapore stocks end lower on Tuesday, bucking regional trend; STI down 0.5%

Stocks to watch: SIA, MCT, Hwa Hong

The continent-wide Stoxx 600 index marked its worst session in over 2 weeks, ending 2.1 per cent lower at 400.68. Losses were largely broad-based and led by oil and gas stocks and miners.

Elsewhere in Asia, Tokyo stocks opened Wednesday lower after the mixed close on Wall Street.

The benchmark Nikkei 225 index was down 0.8 per cent or 209.58 points at 26,213.89 in early trade, while the broader Topix index was down 0.7 per cent or 12.94 points at 1,866.18.