Singapore stocks open higher on Wednesday; STI up 0.1%

SINGAPORE shares rose at the open on Wednesday in anticipation of the signing of the post-Brexit trade deal between the European Union and the UK.

The Straits Times Index (STI) added 0.1 per cent or 1.58 points to 2,849.72 as at 9.01am.

Gainers outnumbered losers 57 to 34, after 76.2 million securities worth S$27.9 million changed hands.

Mainboard-listed Yangzijiang Shipbuilding saw significant trading activity in terms of both value and volume, gaining 2.1 per cent or S$0.02 to S$0.95 as at 9.01am.

The trio of local banks were lower in early trade. As at 9.02am, DBS was down 0.3 per cent or S$0.08 at S$25.12, UOB fell 0.3 per cent or S$0.07 to S$22.57, while OCBC slipped 0.1 per cent or S$0.01 to S$10.06.

US stocks ended lower on Tuesday in choppy trading after hitting record highs recently, as investors worried about the path of economic reopening and whether the Senate would authorise additional pandemic aid cheques.

The Dow Jones Industrial Average and the S&P 500 both lost 0.2 per cent, or 68.3 points and 8.32 points, to 30,335.67 and 3,727.04 respectively. The tech-rich Nasdaq Composite dropped 49.2 points or 0.4 per cent to close at 12,850.22.

European stocks closed at a fresh 10-month high on Tuesday, powered by a Brexit trade deal, hopes of a bigger US stimulus package, and a marathon Covid-19 vaccination campaign. The pan-European STOXX 600 ended up 0.8 per cent, rising for a fifth straight session.

Elsewhere in Asia, Tokyo stocks opened lower on Wednesday as investors opted to lock in gains in the final session of the year following the Nikkei adding more than 2 per cent the previous day and closing at a 30-year high.

As at 9.15am, the Nikkei Stock Average lost 160.16 points or 0.58 per cent to 27,407.99, while the broader Topix index dropped 16.59 points or 0.91 per cent to 1,802.59.