Singapore Stock Market May Extend Wednesday’s Gains

The Singapore stock market on Wednesday ended the three-day losing streak in which it had slipped almost 35 points or 1.1 percent. The Straits Times Index now sits just above the 3,135-point plateau and it may add to its winnings on Thursday.

The global forecast for the Asian markets suggests mild upside on optimism over the outlook for interest rates. The European and U.S. markets were up and the Asian bourses are expected to follow suit.

The STI finished modestly higher on Wednesday following gains from the financial shares, property stocks and industrial issues.

For the day, the index advanced 29.04 points or 0.93 percent to finish at 3,136.14 after trading between 3,114.43 and 3,151.08.

Among the actives, Ascendas REIT moved up 0.37 percent, while CapitaLand Integrated Commercial Trust jumped 1.58 percent, CapitaLand Investment accelerated 1.89 percent, City Developments climbed 1.26 percent, Comfort DelGro slumped 0.74 percent, DBS Group collected 0.57 percent, Emperador and SembCorp Industries both added 1.00 percent, Genting Singapore spiked 2.23 percent, Hongkong Land lost 0.32 percent, Keppel DC REIT surged 2.41 percent, Keppel Ltd rose 0.84 percent, Mapletree Pan Asia Commercial Trust gathered 0.78 percent, Mapletree Industrial Trust gained 0.88 percent, Mapletree Logistics Trust perked 0.69 percent, Oversea-Chinese Banking Corporation rallied 1.46 percent, Seatrium Limited soared 2.25 percent, Singapore Technologies Engineering increased 1.02 percent, SingTel strengthened 1.30 percent, Thai Beverage advanced 1.01 percent, UOL Group tumbled 1.25 percent, Wilmar International improved 1.20 percent, Yangzijiang Shipbuilding was up 0.56 percent and SATS and Yangzijiang Financial were unchanged.

The lead from Wall Street is positive as the major averages opened higher on Wednesday, faded midday but rallied late to finish modestly in the green.

The Dow added 75.86 points or 0.20 percent to finish at 38,661.05, while the NASDAQ advanced 91.96 points or 0.58 percent to close at 16,031.54 and the S&P 500 rose 26.11 points or 0.51 percent to end at 5,104.76.

The rebound on Wall Street reflected a positive reaction to congressional testimony by Federal Reserve Chair Jerome Powell.

Powell told the House Financial Services Committee it will likely be appropriate for the Fed to begin lowering interest rates at “some point this year,” although he reiterated officials need “greater confidence” inflation is moving sustainably toward 2 percent.

In economic news, payroll processor ADP said private sector employment in the U.S. increased by slightly less than expected in February.

Crude oil futures settled higher on Wednesday after data showed large declines in gasoline and distillate stockpiles last week. West Texas Intermediate Crude oil futures for April ended higher by $0.98 or 1.25 percent at $79.13 a barrel.