Singapore stocks inch up on inflation forecast; STI gains 0.6%
The iEdge Singapore Next 50 Index rises 0.2% or 2.38 points to 1,447
[SINGAPORE] Local shares closed higher on Tuesday (Dec 23), after the authorities maintained their full-year forecasts for Singapore’s core and headline inflation for November.
Core inflation, which excludes accommodation and private transport, was 1.2 per cent in November, similar to in October, while headline inflation came in at 1.2 per cent last month, the same as October.
The benchmark Straits Times Index (STI) rose 0.6 per cent or 28.68 points to close at 4,638.97. Meanwhile, the iEdge Singapore Next 50 Index was up 0.2 per cent or 2.38 points to 1,447.
In-flight caterer and ground handler Sats was the top blue-chip gainer, rising 1.6 per cent or S$0.06 to close at S$3.81.
DFI Retail Group was the largest decliner on the STI, falling 2.2 per cent or US$0.09 to US$3.96.
CapitaLand Integrated Commercial Trust was the most actively traded counter on the STI by volume, with 19.6 million units worth S$46.2 million traded. The counter closed flat at S$2.35.
The trio of local banks finished higher on Tuesday. OCBC rose 0.4 per cent or S$0.08 to S$19.90. DBS climbed 1.1 per cent or S$0.64 to S$56.34. UOB gained 0.6 per cent or S$0.22 to S$34.99.
Across the broader market, advancers outnumbered decliners 312 to 239, after 1.2 billion securities worth S$1.4 billion changed hands.
Key regional indices mostly ended higher. South Korea’s Kospi rose 0.3 per cent. Australia’s ASX 200 gained 1.1 per cent. Hong Kong’s Hang Seng Index was down 0.1 per cent.
Meanwhile, gold and silver continued to rise to record highs on Tuesday on the back of investor optimism for further interest rate cuts, as well as geopolitical uncertainties.
Neil Wilson, investor strategist at Saxo Markets, called it a “remarkable year” for the precious metals, with gold leading the rally. While central banks are driving demand for gold, Wilson said that overly stimulative policy mix could be driving demand for other metals such as silver.
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