Singapore stocks fall amid regional ‘Santa rally’; STI down 0.3%
Yong Jun Yuan
SINGAPORE stocks fell on Wednesday (Dec 20) despite a regional rally led by optimism in US markets.
The benchmark Straits Times Index (STI) fell 0.3 per cent or 8.59 points to 3,108.03.
Across the broader market, gainers beat losers 288 to 257, after 1.02 billion securities worth S$745.3 million changed hands.
Major Asian markets were in the black. Hong Kong’s Hang Seng Index gained 0.7 per cent, while Japan’s Nikkei 225 rose 1.4 per cent and South Korea’s Kospi composite index climbed 1.8 per cent.
Stephen Innes, managing partner at SPI Asset Management, noted that US stocks maintained a strong performance overnight, with the S&P 500 index approaching record territory.
“Without a tablespoon of doubt, investors are encouragingly acknowledging that inflation has experienced a notable decline across most major economies from the peak observed last year,” he said.
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“Notably, this has occurred without the need for a recession.”
He added: “Consequently, financial markets are currently basking in anticipation of a more festive holiday season, revelling in the optimism of profitable Santa rally cheer.”
On the STI, offshore and marine company Seatrium was the top gainer, rising 1.9 per cent or S$0.002 to S$0.11.
Meanwhile, Yangzijiang Shipbuilding was at the bottom of the table. It fell 3.5 per cent or S$0.05 to S$1.40.
The trio of local banks was also in the red on Wednesday.
OCBC fell 0.2 per cent or S$0.03 to S$12.45; DBS shed 0.4 per cent or S$0.13 to S$31.53, and UOB declined 0.6 per cent or S$0.16 to S$27.52.
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