Singapore stocks end week in red amid regional slump; STI down 0.9%

SINGAPORE shares ended the week in red, tracking regional losses in Asia-Pacific markets on Friday (Nov 10).

Stocks sank across the region after United States Federal Reserve chairman Jerome Powell warned on Thursday that he “will not hesitate” to hike interest rates further in his quest to bring inflation to heel.

The Straits Times Index (STI) fell 0.9 per cent, or 28.64 points, to 3,106.68.

Across the broader market, losers outnumbered gainers 356 to 233, with one billion securities worth S$816.4 million changing hands.

Constituents within the STI were mostly in the red. Real estate investment manager CapitaLand Investment was the largest decliner, falling 3 per cent, or S$0.09, to close at S$2.94.

Other constituents that fell include property developer Hongkong Land which slipped 2.7 per cent, or US$0.09, to US$3.23. Shares of DFI Retail Group also slipped 2.1 per cent, or US$0.05, to US$2.30.

The biggest gainer on the STI was spirits company Emperador which rose 2 per cent, or S$0.01, to S$0.51.

Shares of Seatrium were the most actively traded by volume, with 146.5 million shares worth S$15.8 million changing hands.

Regionally, markets were mostly in the red. Major indices, including those in Australia, South Korea, Shanghai and Hong Kong, all ended the day lower.

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Stephen Innes, managing partner of SPI Asset Management, said that Asia shares will have “a similar sinking feeling” in response to the drop in US stocks.

He added that investors in Asia are facing steady declines after Powell’s speech on Thursday halted the rally in stocks and bonds.

“With the Fed seemingly still erring on the side of doing too much versus too little, this can, temporarily at least, sink some boats as rate-cut probability could start to vaporise along the curve. To what degree the market will eventually consider these as actionable or boilerplate comments is very important, but only time will tell as the economic data has yet to bear out,” said Innes.