Singapore Stock Market Expected To Halt Losing Streak

(RTTNews) - The Singapore stock market has moved lower in six straight sessions, sinking more than 125 points or 4.1 percent along the way. The Straits Times Index now rests just above the 3,105-point plateau although it may find traction on Thursday.

The global forecast for the Asian markets is upbeat, with bargain hunting expected after brutal selling over the past week. The European and U.S. markets were up and the Asian bourses are predicted to follow suit.

The STI finished slightly lower on Wednesday following losses from the properties and mixed performances from the financials and industrials.

For the day, the index eased 3.04 points or 0.10 percent to finish at 3,105.85 after trading between 3,104.19 and 3,128.58. Volume was 1.65 billion shares worth 1.16 billion Singapore dollars. There were 273 gainers and 224 decliners.

Among the actives, Ascendas REIT improved 0.73 percent, while CapitaLand Integrated Commercial Trust gathered 0.47 percent, CapitaLand Investment declined 0.82 percent, City Developments jumped 1.89 percent, Comfort DelGro added 0.72 percent, DBS Group perked 0.37 percent, Genting Singapore slumped 0.67 percent, Hongkong Land tanked 1.85 percent, Keppel Corp dipped 0.15 percent, Mapletree Commercial Trust gained 0.57 percent, Mapletree Industrial Trust advanced 0.83 percent, Mapletree Logistics Trust rallied 0.62 percent, Oversea-Chinese Banking Corporation perked 0.26 percent, SATS and Wilmar International both shed 0.25 percent, Singapore Exchange climbed 0.93 percent, SingTel retreated 0.79 percent, Thai Beverage plummeted 3.03 percent, United Overseas Bank and Keppel DC REIT both skidded 0.52 percent, Yangzijiang Financial tumbled 1.03 percent, Yangzijiang Shipbuilding rose 0.52 percent and Singapore Technologies Engineering, SembCorp Industries, Frasers Logistics and UOL Group were unchanged.

The lead from Wall Street is positive as the major averages opened solidly higher on Wednesday and remained in the green throughout the day, finishing near session highs.

The Dow climbed 303.70 points or 1.00 percent to finish at 30,668.53, while the NASDAQ surged 270.81 points or 2.50 percent to end at 11,099.15 and the S&P 500 jumped 54.51 points or 1.46 percent to close at 3,789.99.

The rally on Wall Street came even as the Federal Reserve announced the biggest increase in interest rates in almost 30 years. The Fed raised the target rate for the federal funds rate by 75 basis points to 1.50 to 1.75 percent, marking the biggest rate hike since 1994.

The widely expected move by the Fed comes as a recent report from the Labor Department showed consumer price inflation at the fastest annual rate in 40 years. Citing its goals of maximum employment and inflation at a rate of 2 percent over the longer run, the Fed also indicated that further rate hikes are likely to be appropriate.

In economic news, the Commerce Department noted an unexpected decrease in U.S. retail sales in May, while a separate report showed U.S. import prices increased by less than expected. Also, the National Association of Home Builders said homebuilder confidence fell to its lowest level since June 2020.

Crude oil prices slumped on Wednesday after data showed a jump in oil inventories in the U.S. last week, and the Federal Reserve hiked interest rates by a sharp 0.75 percent. West Texas Intermediate Crude oil futures dropped by $2.21 or 1.8 percent to $116.72 a barrel.