Local shares dip amid muted investor optimism

Singapore shares ended slightly lower yesterday as counters on the bourse traded sideways, while investor optimism remained muted.

The benchmark Straits Times Index (STI) fell 1.42 points, or 0.05 per cent, to 2,856.72.

Across the market, decliners outnumbered advancers 248 to 189, with 2.18 billion securities worth $1.37 billion changing hands.

Regional stock markets mostly closed lower too. The Nikkei 225 lost 0.2 per cent; Hong Kong's Hang Seng Index fell 0.7 per cent, and the Shanghai Stock Exchange Composite Index dipped 0.1 per cent. Malaysia's KLCI bucked the trend, rising 0.7 per cent.

Mr Stephen Innes, chief global market strategist at Axi, noted that despite talks of vaccines and a US relief Bill, stock markets were "not exactly firing higher".

"Unless policymakers over-deliver on market expectation, especially at this time of year when our risk-taking proclivities give way to profit-taking, it seems virus-related economic restrictions will never cease to weigh as the market continues to straddle that fence between hope and reality."

Jardine Matheson Holdings and Jardine Strategic Holdings came out tops for the day. The former gained 1.2 per cent to US$56.60, while the latter added 2.4 per cent to finish the day at US$26.44.

Among the STI constituents, Dairy Farm was the biggest gainer. The counter closed at US$4.25, up 2.4 per cent.

At the other end of the spectrum, ComfortDelGro was among the biggest constituent losers, shedding 1.8 per cent to $1.68.

The trio of lenders ended the day mixed. OCBC Bank fell 0.2 per cent to $10.11, while United Overseas Bank lost 0.1 per cent to close at $22.89. DBS, however, gained 0.04 per cent to end at $25.46.