STI may lack upside impetus amid trade tensions

AS the Singapore bourse returns from a long Eid holiday weekend, global trade fears that have spooked trading sentiment show little signs of abating as the US-China spat flares up - this time with Beijing vowing to retaliate.

The trade tension between the world's two largest economies and the US Federal Reserve's hawkish stance last week at its monetary policy meeting were the final touches on a rough week.

The key Straits Times Index slipped to a two-month low on Thursday. The benchmark is in negative territory by 1.4 per cent for the year.