Singapore shares rise amid softer inflation data, local banks end higher

SINGAPORE - Shares in Singapore ended higher on Monday after the Republic continued to post softer inflation data in August. The benchmark Straits Times Index (STI) gained 0.3 per cent, or 10.58 points, to close at 3,215.4.

Losers outnumbered gainers 277 to 252 in the broader market, after 1.1 billion shares worth $682.9 million changed hands.

IG market analyst Yeap Jun Rong noted that investors were anticipating Singapore’s August inflation data, released on Monday.

Headline inflation for the month slipped to 4 per cent, from July’s 4.1 per cent. Core inflation, which excludes accommodation and private transport, dipped to 3.4 per cent in August, from 3.8 per cent in the preceding month.

Mr Yeap said the Monetary Authority of Singapore may extend its pause on monetary-policy tightening in October, while keeping watch for ongoing economic risks amid softer core-pricing pressures and the recent US Federal Reserve decision to keep rates on hold.

Elsewhere in the region, key indexes were mixed. The Hang Seng Index fell 1.8 per cent, the FTSE Bursa Malaysia KLCI slid 0.5 per cent, and the Kospi Composite Index lost 0.5 per cent. Meanwhile, the Nikkei 225 was up 0.9 per cent.

In the Singapore market, Thai Beverage was the biggest gainer on the STI, rising 5.4 per cent, or 3 cents, to close at 59 cents.

The top decliner was Mapletree Pan Asia Commercial Trust, falling 1.4 per cent, or 2 cents, to $1.43.

The trio of local banks ended higher on Monday. DBS Bank gained 0.6 per cent, or 20 cents, to $33.45, OCBC Bank rose 0.9 per cent, or 11 cents, to $12.72, and UOB ended 0.8 per cent, or 23 cents, up at $28.45.

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