STI's uptrend continues for second day

THE Straits Times Index (STI) continued its uptrend for a second day straight, ending Tuesday up 13.55 points or 0.53 per cent at 2,562.95 points, as the Covid-19 situation continued to improve.

A report by Singapore's central bank on Tuesday also offered slight optimism - that the government's Jobs Support Scheme will help to cushion the labour market, though layoffs and unemployment are still expected to rise.

ComfortDelgro was the the best performer among the index constituents. Its shares rose S$0.09 or 6.16 per cent to S$1.55 after OCBC Investment Research kept its "buy" call with a long-term view on the counter.

It said that the transport operator has low gearing and is able to undertake more acquisitions, despite the short-term impact to its taxi and rail business, which should recover over the longer term.

Shares of Keppel Corporation rose S$0.22 or 3.79 per cent to S$6.03, after its subsidiary Keppel Telecommunications & Transportation agreed to sell a 2.33 per cent stake in Keppel DC Reit for S$92 million in an "opportune move" to redeploy funds in new opportunities.

At the bottom of the STI's performance table was Jardine Cycle & Carriage, which on Monday flagged "challenging trading conditions" in the first quarter, as measures to contain the Covid-19 outbreak have led to temporary closures across many of the group's businesses. Its shares lost S$1.23 or 5.85 per cent to S$19.80.

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Advancers outnumbered decliners 217 to 172 for the day, with 1.34 billion shares worth S$1.35 billion changing hands.

The most heavily traded stock was Yangzijiang Shipbuilding, which lost S$0.03 or 3 per cent to S$0.97, after its announcement that it was providing a credit facility of up to 1.5 billion yuan (S$301.7 million) to an entity that Yangzijiang's chairman and his son are invested in - a move which likely caused unease among investors.

Meanwhile, Asian markets mostly finished in positive territory. The FTSE Bursa Malaysia KLCI Index gained 0.15 per cent or 2.04 points to close at 1,372.20. The Nikkei 225 Index fell 0.06 per cent, while the Hang Seng Index rose 1.22 per cent, making it the standout performer for the day.