STI falls 0.5% on poor market sentiment

THE gloomy sentiment over global trade appears to have dug in its heels, as markets brace themselves for a protracted tariff spat between Washington and the rest of the world.

The Straits Times Index (STI) ended Thursday neatly on the 3,300 mark on a decline of 15.9 points, or 0.48 per cent, with losers beating gainers 250 to 147 on the full bourse.

Oriano Lizza, a Singapore-based CMC Markets sales trader, said that the previous day's mild recoveries "are purely damage limitations as trade talks linger over the region", while Paul Gruenwald, S&P Global Ratings' chief economist, warned: "Trade risks remain front and centre as the US launched a new round of tariffs against China, as well as Europe and Canada."