Singapore shares end higher as Asian markets regain confidence

Singapore shares rose yesterday along with other major Asian indexes.

The Straits Times Index (STI) gained 0.7 per cent to 3,117.48.

Gainers outnumbered losers 334 to 167 in the broader market after 1.27 billion securities worth $961.7 million changed hands.

Hong Kong's Hang Seng Index surged 1.9 per cent, Japan's Nikkei 225 rose 1.8 per cent, while South Korea's Kospi climbed 0.8 per cent. Indonesia's Jakarta Composite Index closed up 1 per cent, while the Kuala Lumpur Composite Index advanced 1.2 per cent.

Oanda's senior market analyst Jeffrey Halley said some confidence has returned to Asian markets even as Wall Street took a holiday on Monday, thanks to US index futures grinding higher in Asia.

US futures continued gaining through European time as a lack of negative headlines "allowed the buy-the-dippers to dip their toes in the market", he pointed out.

"Assuming the news ticker stays quiet, and with little data out this afternoon, European markets should continue recouping some recent losses, and as long as the US housing data holds steady, I can see Wall Street maintaining its recent gains as well."

Among STI constituents, Sembcorp Industries was the biggest gainer, up 4.7 per cent to $2.91.

Yangzijiang Shipbuilding ended 2.6 per cent higher at 99 cents.

Finishing at the bottom of the STI performance table was Thai Beverage, which shed 0.8 per cent to close at 65 cents.

Singapore Exchange lost 0.3 per cent to end at $9.47. This came as the Carsome Group was reported to be delaying its dual listing plans in Singapore and the US amid deteriorating macroeconomic conditions.

In the broader market, the most actively traded counter by volume was once again Sembcorp Marine, which reversed Monday's losses, closing up 5.7 per cent at 11.1 cents, after some 191.9 million shares worth $21 million changed hands.