Singapore stocks gain on central bank cheer; STI up 0.3%

THE Straits Times Index (STI) climbed 0.3 per cent or 8.12 points to close at 3,302.66 points on Friday (Apr 14), as sentiment was lifted by the Monetary Authority of Singapore’s decision to leave its monetary policy settings unchanged for the first time in 18 months.

In the wider Singapore market, gainers outnumbered losers 330 to 236, with 1.3 billion securities worth S$839.8 million traded.

“Growth risks seemed to weigh more heavily for Singapore’s central bank, which was a surprise given China reopening tailwinds are now starting to magnify as well,” said Saxo market strategist Charu Chanana.

“Still, what is getting clear is that central banks are ready to pause and let the effects of tightening flow through the system, rather than facing risks of a recession,” she added.

Yangzijiang Shipbuilding was the biggest winner on Singapore’s blue-chip index, adding 1.7 per cent or S$0.02 to S$1.23.

Thai Beverage (ThaiBev) , DFI Retail Group and CapitaLand Investment were also noteworthy performers, closing between 1.1 per cent and 1.6 per cent higher.

ThaiBev was also the most actively traded constituent stock, with 22.3 million shares changing hands.

At the bottom of the table was Wilmar International , which lost 0.7 per cent or S$0.03 to S$4.09.

The trio of local lenders all finished higher. DBS gained 0.2 per cent or S$0.05 to S$32.57, OCBC rose 0.3 per cent or S$0.04 to S$12.84, and UOB rose 0.6 per cent or S$0.18 to S$30.13.

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Most key Asian markets were also in positive territory, with economists forecasting a pickup in China’s gross domestic product growth to 4 per cent in the first quarter, a Reuters poll indicated.

Japan’s Nikkei 225 Index was the standout performer on Friday, gaining 1.2 per cent. The Shanghai Composite Index, Hong Kong’s Hang Seng Index, South Korea’s Kospi Composite Index and the FTSE Bursa Malaysia KLCI climbed between 0.1 per cent and 0.6 per cent.