MSCI Singapore Index tops Asia-Pacific indices in June: SGX

THE MSCI Singapore Index outperformed other Asia-Pacific indices in June, posting an 8.4 per cent gain.

The Straits Times Index (STI) also had a strong showing, increasing 6.5 per cent in the same month, said the Singapore Exchange (SGX) in its June equities monthly digest.

Regional indices such as the MSCI AC Asia-Pacific Index increased 5.4 per cent and MSCI AC Asia ex Japan Index was up 6.6 per cent amid a month of improved market sentiment.

All sectors in the Singapore market generated positive returns, with communication services, banks and IT topping the list at 8.6, 8.4 and 8.1 per cent positive returns respectively.

Singtel had the largest average volume traded at 30.6 million shares after institutional investors put S$168.1 million into the stock, making it their top net buy in June.

Cromwell European Reit saw the largest jump as its June average volume traded more than doubled its three-month average volume traded.

Institutional investors net bought S$363 million in June, a big jump from a net buy of S$49 million in May.

Reits saw the largest private investment increase at S$223.1 million, while communication services had a net buy of S$181.2 million and industrials rounded up the top sectors with S$33.7 million.

Top net sell sectors were financials at -S$92.1 million, consumer discretionary at -S$28.6 million and healthcare at -S$3.2 million.

Singapore's private property price index rose to 150.5 points in the Urban Redevelopment Authority's second-quarter flash estimates, up 1.3 per cent quarter-on-quarter, peaking five years since Q1 2014.

Singapore property developers are trading at 0.6x P/B (price-to-book) ratio, below the -1 standard deviation of the historical mean.

Amid market volatility and a global slowdown in manufacturing, trade and investment, Singapore's economy expanded 1.2 per cent in the first quarter.

The STI is now trading at about 13.1x consensus forward P/E (price-to-earnings), near the -1 standard deviation of the historical mean, with a dividend yield of 3.8 per cent, SGX said.