Local shares eked out modest gains yesterday against a mixed showing by regional peers as investors sought to get a handle on the direction of the global recovery.
The uncertain mood left the Straits Times Index up 8.07 points, or 0.3 per cent, to 2,669.49.
Turnover came in at 2.03 billion shares worth $1.04 billion, with 255 gainers to 186 losers.
Key gauges in China, Hong Kong, Taiwan and Malaysia rose, while those in Japan, South Korea and Australia finished in the red as caution prevailed amid a steady drip of worrying virus news that threw cold water on hopes of a gradual global recovery.
Traders also stayed on the sidelines ahead of today's release of Japan machinery orders in May - pundits expect extended declines as Covid-19 continues to hurt the world's third-largest economy - as well as China's inflation figures and United States jobless claims.
Oanda senior market analyst for the Asia-Pacific Jeffrey Halley said: "Of the three, the US number will be of most interest. Consensus suggests initial jobless claims will hold steady at 1.5 million. However, if the number comes in much worse than expected due to new lockdowns across the US Sun Belt, that may be all markets need to hit the 'sell' button into the week's end."
Hong Kong rose 0.59 per cent after a sharp sell-off on Tuesday. The Shanghai Composite Index rallied 1.74 per cent, while the Shenzhen Composite climbed 1.88 per cent.
South Korea edged 0.24 per cent lower and Japan fell 0.78 per cent.
The three banking stalwarts led the gains here alongside Wilmar International, HongKong Land and Keppel Corp, which collectively added 11.3 index points to the STI.
DailyFX strategist Margaret Yang said: "Investors are probably sitting on the sidelines ahead of a nation-wide election on Friday. Once the political skies clear, the stock market will likely find its own direction and start to move in tandem with the rest of Asia."
CSE Global rose 5.4 per cent to 48.5 cents. The global technology solutions provider disclosed on Tuesday that an investment firm owned by Temasek has emerged as its substantial shareholder after scooping up a 25.03 per cent stake through a married deal.
Tee International jumped 10 per cent to 3.3 cents and was one of the most active, with 60 million shares done. The shares were halted from trading on Tuesday, pending its announcement that it had received an offer from investment holding firm Tramore Global at 3.38 cents a share, after it emerged as controlling shareholder.
