Singapore stocks finish higher, STI at 19-month high on Fed signal

THE US Federal Reserve lived up to expectations when it raised its short-term rate by 25 basis points on Wednesday, but more importantly for the bulls, it did not signal more than two more hikes this year.

As a result, Wall Street rose overnight, pushing the Straits Times Index up 26.09 points or 0.8 per cent on Thursday to 3,163.52, the highest closing in about 19 months. Turnover amounted to a heavy 2.7 billion units worth S$1.6 billion. Excluding warrants, there were 319 rises versus 181 falls throughout.