Regional shares flounder on back of Wall St decline and as traders await key data this week
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The Straits Times Index declined 17.3 points or 0.5 per cent to 3,263.39 points.
PHOTO: ST FILE
Tay Peck Gek
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SINGAPORE - Stock markets in the Asia-Pacific, including Singapore, mostly closed in the red on Monday, tracking the sharp loss on Wall Street last Friday.
Singapore’s Straits Times Index (STI) declined 17.3 points or 0.5 per cent to 3,263.39 points, after recovering some lost ground following the first trading hour. The Republic had, before the market opened, released trade figures that pointed to its non-oil domestic exports sliding 20.1 per cent in August, marking the 11th straight month of contraction.
Decliners beat gainers across the broader market 331 to 204, with a billion securities worth $751.6 million transacted.
Mr Stephen Innes, managing partner of SPI Asset Management, said the United States central bank’s policy decision scheduled for Wednesday is a significant focal point for investors, contributing to the cautious sentiment in the market as they await the central bank’s decision and its potential implications for the broader economy and financial markets.
He said: “(Asian) investors are gearing up for an eventful week, including meetings by the Federal Reserve and the Bank of Japan. Both policy meetings could introduce additional uncertainties into the market due to possible hawkish leans. Similar to the moves in US equities on Friday, this anticipation likely contributes to the cautious sentiment among Asian investors as they evaluate these central bank meetings’ potential outcomes and impact on global markets.”
National carrier Singapore Airlines’ share price fell 1 per cent to $6.80. The carrier, with low-cost airline Scoot, flew 34,900 fewer passengers in August than in July. The group’s operating statistics published last Friday showed that its load factor – the percentage of available seating capacity filled by paying passengers – had also slipped marginally month on month.
Despite unveiling a new model last Friday, Chinese electric vehicle (EV) maker Nio closed 3.1 per cent down at US$10.37. This came days after the European Commission started an investigation into Chinese EV imports that it claimed were benefiting from state subsidies. THE BUSINESS TIMES
