STI ends week 54 pts lower on looming US rate hike, entry of 4th telco

THE likelihood of US interest rates being raised sooner rather than later and the possible entry of a fourth telco in Singapore weighed on sentiment this week, dragging the Straits Times Index 54 points or 1.9 per cent down to 2,803.92.

These fears arose after comments last week by US Federal Reserve chair Janet Yellen at Jackson Hole, Wyoming and have kept a lid on Wall Street stocks and bonds.

In Singapore, Singtel was the index's main loser following developments that have raised the likelihood of a fourth telco entering the segment. On Friday, the stock fell S$0.10 to S$3.87 on volume of 55.4 million, the largest contributor to the STI's 12.55-point loss that day. For the week, Singtel lost S$0.35 or 8.3 per cent.