Singapore shares open higher after govt unveils Solidarity Budget; STI up 1.7%

SINGAPORE shares opened higher on Tuesday following the announcement of a S$5.1 billion Solidarity Budget by the Singapore government on Monday to support households and businesses, and save jobs.

The Singapore market also tracked a strong US trading session buoyed by hopes the novel coronavirus pandemic might be easing.

The Straits Times Index (STI) gained 41.58 points or 1.7 per cent to 2,512.17 as at 9.05am.

Gainers outnumbered losers 159 to 22, after 88.4 million securities worth S$121.2 million changed hands.

Rex International was the most traded counter by volume in the morning, rising 0.2 Singapore cent or 2 per cent to 10.4 cents after 11.2 million shares were traded.

Other actives included Genting Singapore, which rose 2.5 Singapore cents or 3.6 per cent to 71.5 cents on 6.1 million shares traded. This was after Genting's Resorts World Sentosa said it has suspended its attractions in line with the government's "circuit-breaker" measures.

Meanwhile, ESR-Reit rose one Singapore cent or 4.1 per cent to 25.5 cents after 5.6 million units changed hands.

Singtel, one of the most traded stocks by value, rose S$0.02 or 0.8 per cent to S$2.63.

All three local banks advanced in early trade, as DBS rose S$0.36 or 2 per cent to S$18.76, OCBC gained S$0.18 or 2.1 per cent to S$8.89 while UOB jumped S$0.51 or 2.6 per cent to S$19.99.

Hopes that the economy-crushing coronavirus pandemic might be easing sent Wall Street climbing sharply on Monday, with all three main indices closing higher.

The Dow Jones Industrial Average soared more than 1,600 points, a gain of 7.7 per cent, to close at 22,679.99. The broad-based S&P 500 closed at 2,663.68, rising 7 per cent, while the tech-rich Nasdaq jumped 7.3 per cent to finish at 7,913.24.

Elsewhere in Asia, Japan opened more than 3 per cent higher. Its benchmark Nikkei 225 index rose 3.07 per cent or 570.11 points to 19,146.41 in early trade, while the broader Topix index was up 2.75 per cent or 37.80 points at 1,414.10.