The benchmark Straits Times Index rose 33.46 points to close at 2,839.01.

Rising issues led decliners 305 to 266 with 1,090 stocks unchanged.

'As we don?t foresee a recession in the Singapore economy, despite our view that the US has already entered a recession, we believe that the market might have neared its bottom,' Westcomb Securities said in a note to clients.

Investor sentiment was boosted by positive news of retail sales in January, which suggests that the economy remains resilient despite global economic uncertainties.

Sentiment was also helped by Wall Street's overnight gains after Standard and Poor's Ratings Services said the massive subprime asset writedowns by financial companies may be coming to an end.

Standard and Poor's increased its estimate of subprime writedowns to 285 billion dollars globally from its previous projection of 265 billion dollars, but said, 'The end of writedowns is now in sight.'

Banking shares varied, with UOB rising 10 cents to 17.24 dollars, Oversea-Chinese Banking Corp up 13 cents at 7.59 and DBS Group losing four cents to 16.86.

Property heavyweights rallied, with CapitaLand up 15 cents at 5.76, City Developments up four cents at 10.40 and Keppel Land gaining three cents to 5.25.

Among blue chips, Singapore Exchange rose 13 cents to 6.80, Singapore Telecommunications up ten cents at 3.87 and Singapore Airlines finished 30 cents lower at 14.12. -- AFP