Singapore shares slide after MAS unveils stock market measures; STI down 0.1%

SINGAPORE - Equities in Singapore were marginally lower at the end of the first trading session after the Monetary Authority of Singapore (MAS) unveiled plans to boost the stock market.

The benchmark Straits Times Index (STI) fell 0.1 per cent or 2.19 points to 3,927.75.

Across the broader market, gainers beat losers 298 to 286, after 1.4 billion securities worth $1.7 billion changed hands.

The STI’s top counter was property developer UOL, which rose 5.9 per cent or 30 cents to $5.39.

This was after integrated development Parktown Residence sold more than 87 per cent of its units over its launch weekend. It is being developed by a joint venture between UOL, Singapore Land and CapitaLand Development.

The Singapore Exchange (SGX) was the next-highest gainer on the STI. It rose 3.9 per cent or 50 cents to $13.30, buoyed by investors’ positive sentiment towards MAS’ initiatives.

Referencing the authority’s $5 billion Equity Market Development Programme to boost investments in Singapore securities, CGS International analysts Lock Mun Yee and Lim Siew Khee said SGX would be a beneficiary of stronger market volumes in the medium term, “when earnings impact may be more accurately assessed”.

Meanwhile, maritime player Yangzijiang Shipbuilding tumbled 7.1 per cent or 23 cents to $2.99, and was the biggest loser on the index.

The three local banks finished in the red. DBS fell 0.6 per cent or 27 cents to $46.35, UOB slid 0.1 per cent or three cents to $38.35, and OCBC lost 0.2 per cent or four cents to $17.69.

Key indexes in the region ended mostly lower. Hong Kong’s Hang Seng Index fell 0.6 per cent, South Korea’s Kospi Composite Index declined 0.4 per cent, and the Bursa Malaysia Kuala Lumpur Composite index retreated 0.4 per cent. Japan’s Nikkei 225, however, gained 0.3 per cent.

THE BUSINESS TIMES