STI bucks Wall Street rally and dips 0.7%
The benchmark performance was in line with the broader market, which saw decliners beating gainers 324 to 251.
THE Straits Times Index (STI) ended 0.7 per cent or 25.61 points lower at 3,614.58 points on Monday (Oct 21), unable to benefit from the rally on Wall Street last Friday.
The benchmark performance was in line with the local broader market, which saw decliners beating gainers 324 to 251. Some 1.2 billion of securities valued at S$896.7 million were traded.
Of the 30-stock STI, only eight managed to finish trading higher, while four were unchanged and the rest ended in the red.
The three banking stocks, which account for over 40 per cent of the benchmark index, all closed lower.
DBS dropped S$0.54 or 1.4 per cent to S$39.16, OCBC was down S$0.12 or 0.8 per cent at S$15.28, and UOB declined S$0.12 or 0.4 per cent to S$32.48.
DBS was unable to rise past S$39.70, despite having tested that price level in recent times.
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Keppel DC Reit closed at S$2.28 – a 52-week high – after rising 1.3 per cent or S$0.03.
Paul Chew, head of research at Phillip Securities Research in a note on Monday noted that the Reit has for the second consecutive quarter announced rental reversion of over 40 per cent on its Singapore data centre.
“From our perspective, it is just how much a landlord can squeeze when there is no alternative or supply. Otherwise, who pays 40 per cent higher rent?” he said.
Wall Street stocks ended higher on Friday as the Dow Jones Industrial Average and the S&P 500 climbed to new all-time highs on strong earnings results.
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