SINGAPORE shares closed 4.14 per cent lower on Thursday as investor confidence plunged over fears of a global recession, dealers said.

The main Straits Times Index tumbled 75.46 points to 1,745.67. Volume totalled 1.17 billion shares worth $1.22 billion and there were 149 winners, 341 losers while 847 issues were even.

With Singapore already in a technical recession, investors fear the worst for local companies if the global economy is stuck in a prolonged downturn, dealers said.

'The issue is we are looking at zero growth next year with no real pick up probably until 2011 and the market only looks 6-9 months ahead,' a foreign house strategist told Dow Jones Newswires.

For the blue chips, Singapore Airlines slumped 56 cents to $11.74, Singapore Telecommunications was off 19 cents to $2.28 and Neptune Orient Lines lost 13 cents to $1.16.

Among property stocks, CapitaLand was steady at $2.77, City Developments gained six cents to $6.56 and Keppel Land dropped 12 cents to $1.68.

DBS Group was off 62 cents to $10.98, United Overseas Bank eased 72 cents to $13.80 and Oversea-Chinese Banking Corp surrendered 41 cents to $5.49. -- AFP