The Singapore stock market has tracked lower in two straight sessions, stumbling more than 70 points or 2.2 percent along the way. The Straits Times Index now sits just beneath the 3,100-point plateau and it’s expected to open under pressure again on Friday.
The global forecast for the Asian markets is negative on rising concerns about the outlook for interest rates and ongoing geopolitical risks. The European and U.S. markets were down and the Asian bourses are expected to follow that lead.
The STI finished sharply lower on Thursday with damage across the board, especially among the financials, properties and industrials.
For the day, the index skidded 37.02 points or 1.18 percent to finish at 3,099.60 after trading between 3,093.84 and 3,112.70.
Among the actives, Ascendas REIT and City Developments both surrendered 3.04 percent, while CapitaLand Integrated Commercial Trust stumbled 1.68 percent, CapitaLand Investment slid 0.66 percent, Comfort DelGro declined 2.29 percent, DBS Group eased 0.54 percent, Genting Singapore was down 0.60 percent, Hongkong Land and SembCorp Industries both lost 0.87 percent, Keppel Corp dropped 1.11 percent, Mapletree Pan Asia Commercial Trust fell 0.75 percent, Mapletree Industrial Trust slumped 1.36 percent, Mapletree Logistics Trust weakened 1.30 percent, Oversea-Chinese Banking Corporation sank 0.93 percent, Seatrium Limited tanked 3.31 percent, Singapore Technologies Engineering tumbled 2.32 percent, SingTel skidded 1.26 percent, Thai Beverage shed 0.92 percent, Wilmar International retreated 1.06 percent, Yangzijiang Financial plummeted 7.04 percent, Yangzijiang Shipbuilding plunged 4.61 percent and Emperador and SATS were unchanged.
The lead from Wall Street remains soft as the major averages opened slightly higher on Thursday, bounced back and forth across the unchanged line throughout the session before late weakness nudged them firmly into the red.
The Dow dropped 250.91 points or 0.75 percent to finish at 33,414.17, while the NASDAQ sank 128.13 points or 0.96 percent to end at 13,186.18 and the S&P 500 lost 36.60 points or 0.85 percent to close at 4,278.00.
The volatility on Wall Street came as Federal Reserve Chair Jerome Powell delivered highly anticipated remarks at an Economic Club of New York luncheon. Powell argued that inflation is “still too high” and warned additional monetary policy tightening may be needed.
Treasury yields moved higher following Powell’s remarks, extending the upward trend seen over the past few sessions and once again reaching 16-year highs.
In economic news, the Labor Department said initial jobless claims unexpectedly declined to a nearly nine-month low last week.
Crude oil futures settled higher Thursday after early losses, as Israel reportedly prepared to move into Gaza to fight against Hamas. West Texas Intermediate Crude oil futures for November added $1.05 or 1.2 percent at $89.37 a barrel.
Market Analysis
Singapore Bourse Tipped To Extend Losing Streak
2023-10-20 00:00:06
