Singapore shares rise, tracking regional gains; STI up 0.6%
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The optimism here sent the benchmark STI up 0.6 per cent or 21.68 points to 3,925.98 with gainers easily outpacing losers 333 to 170 on robust trade of 1.5 billion securities worth $1.5 billion.
PHOTO: ST FILE
Navene Elangovan
SINGAPORE – The stability of the ceasefire between Israel and Iran has drawn plenty of sceptics, but there were enough true believers across major regional markets to drive shares higher on June 25.
The optimism here sent the benchmark Straits Times Index (STI) up 0.6 per cent or 21.68 points to 3,925.98, with gainers easily outpacing losers 333 to 170 across the broader market on robust trade of 1.5 billion securities worth $1.5 billion.
Wall Street set the direction of travel overnight, where stocks put on gains after the ceasefire seemed to hold firm.
The tech-focused Nasdaq led the way, surging 1.4 per cent, while the Dow Industrials rose 1.2 per cent and the S&P 500 advanced 1.1 per cent and is now within touching distance of the record close recorded in February.
Oil prices went the other way, falling 6 per cent, and are now below the level when fighting began earlier in June.
Regional bourses mostly followed in similar fashion. Japan’s Nikkei 225 was up 0.4 per cent, the Hang Seng in Hong Kong gained 1.2 per cent and South Korea’s Kospi rose 0.2 per cent.
Australian stocks swung between gains and losses throughout the day and ended virtually flat.
Mr Nigel Green, chief executive of global financial advisory company deVere Group, noted that global markets were “dangerously relaxed” over the wider global risk of the Israel-Iran conflict.
For instance, equity markets are not showing the “defensive rotation” expected of investors when there are many risk indicators.
He called on investors to adjust their allocations to provide more downside protection and global diversification.
Meanwhile, the STI’s top gainer was the Singapore Exchange, which climbed 3.7 per cent to $14.41, while the losers were led by Yangzijiang Shipbuilding, down 1.4 per cent to $2.19.
CapitaLand Integrated Commercial Trust was the most actively traded blue-chip counter by volume, with 90.5 million units changing hands. The units closed at $2.15, up 0.5 per cent. THE BUSINESS TIMES
