STI falls 0.5% as traders await Fed decision

LACKING drivers ahead of the upcoming Federal Open Market Committee (FOMC) interest rate decision, markets traded sluggishly on Wednesday.

Despite slipping lower on fresh news that Saudi Arabia's oil output could be restored by the end of September, oil prices remained elevated amid worries about tensions in the Middle East, after the United States said Iran was most likely behind the weekend attacks on the Saudi's oil refineries. Asian markets mostly traded lower, including those in Japan, Australia, New Zealand, Hong Kong and Singapore. Markets in China and South Korea closed with gains.

In Singapore, the Straits Times Index (STI) lost 0.51 per cent or 16.16 points to 3,166.84. About 905.12 million securities worth S$914.04 million changed hands, and losers outnumbered gainers 196 to 166.