Singapore shares rise on expectations of China relaxing Covid curbs

SINGAPORE shares managed to spike as trading leapt nearer to the closing bell on Wednesday (Nov 30), with the Straits Times Index rising 0.4 per cent or 14.13 points to 3,290.49 points.

The index had been trading under Tuesday’s close most of the day, but spurted in the minutes before market close.

Elsewhere in Asia, most key markets wrapped up trading higher.

Stephen Innes, managing partner of SPI Asset Management, noted that stocks were randomly teeter-tottering between wins and losses in Asia, as investors weighed zero-Covid developments in China, ahead of a much-anticipated speech from US Federal Reserve chair Jerome Powell later on Wednesday.

He said that policymakers in China are working at full tilt in filling the stimulus package pipeline, which is bound to create a massive multiplier effect and provide a bullish wide-angle view when the China reopening moves into full swing. 

Shares of Singapore Airlines (SIA) were up 0.6 per cent to S$5.50, a day after it announced that it would hold a 25.1 per cent stake in Air India after the latter merges with Vistara.

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Citi analyst Kaseedit Choonnawat said on Wednesday that investors are expected to view SIA’s move favourably in the beginning, as the deal requires limited cash from SIA, and will provide the airline a strategically dominant position in one of the world’s largest aviation markets.

Sembcorp Marine was the top counter in terms of trading volume, with almost 142.6 million shares transacted. The offshore and marine player inched up 1.5 per cent to S$0.138.

Across the broader bourse, gainers beat losers 326 to 219, on a trading volume of 1.6 billion worth S$2.4 billion.