Singapore stocks fall in early trade on Wednesday; STI down 0.04%

SINGAPORE stocks began trade on Wednesday (Oct 12) in slightly negative territory, tracking losses on global stock markets.

On the Singapore bourse, the Straits Times Index headed down 0.04 per cent or 1.1 points to 3,103.91 as at 9.01 am. Gainers outnumbered losers 49 to 41, after 47.6 million securities worth S$37.2 million changed hands.

The most active counter by volume was watch-listed oil and gas producer Eneco Energy , formerly known as Ramba Energy, which rose 7.7 per cent or S$0.001 to S$0.014, with 16.6 million shares traded.

Shares of Leader Environmental Technologies also saw significant movement. The environmental solutions provider called for a trading halt on Tuesday to announce that it was entering into an investment agreement for up to US$15 million redeemable zero-coupon convertible bonds. The counter grew 30.6 per cent or S$0.019 or S$0.081 upon lifting the trading halt on Wednesday after the announced agreement, with 3.9 million shares changing hands.

Among index counters, Genting Singapore was the top traded counter in terms of volume, shedding 1.3 per cent or S$0.01 to S$0.78, with 1.4 million shares traded. CapitaLand Integrated Commercial Trust also saw brisk trading activity, with 1.4 million shares changing hands. The counter grew 1 per cent or S$0.02 to S$1.92. 

The trio of banks all opened Wednesday’s trading session in the red. DBS fell 0.1 per cent or S$0.03 to S$33.28, while OCBC also slipped 0.1 per cent or S$0.01 to S$11.76. UOB likewise shed 0.1 per cent or S$0.03 to S$26.29.

In the US, Wall Street stocks finished a volatile session mostly lower on Tuesday following a downcast International Monetary Fund economic forecast, projected 2023 growth of 2.7 per cent, 0.2 points down from July expectations in light of rising inflation, toughening actions from central banks and uncertainty after the Russian invasion of Ukraine. Investors were also put off by Bank of England governor Andrew Bailey’s comments that the central bank would end emergency bond-buying efforts on Friday.

The Dow Jones Industrial eked out a 0.1 per cent gain to 29,239.19. The broad-based S&P 500 fell for a fifth straight session, losing 0.6 per cent at 3,588.84, while the tech-rich Nasdaq Composite Index slid 1.1 per cent to 13,608.09.

Meanwhile, European shares fell for a fifth straight session on Tuesday, as investors fretted about the prospects of a global economic downturn and corporate profits being squeezed by rising interest rates as central banks step up their fight against inflation.

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The region-wide Stoxx 600 index closed down 0.6 per cent, hitting an over one-week low.

Elsewhere in Asia, Tokyo stocks opened lower on Wednesday, with investors remaining cautious about the impact of inflation.

The benchmark Nikkei 225 index was down 0.1 per cent, or 21.21 points, at 26,380.04 in early trade, while the broader Topix index slipped 0.2 per cent, or 2.93 points, to 1,868.31.