Singapore stocks down again, in line with regional retreat

Singapore stocks extended their losses yesterday, in line with a regional retreat. The Straits Times Index fell 0.58 per cent or 18.61 points to 3,195.04 at the closing bell.

Most index constituents ended in the red, with DFI Retail Group at the bottom of the table. The pan-Asian retailer tumbled 2.55 per cent to end at US$2.68.

Jardine Matheson was the top gainer, climbing 1.58 per cent to US$55.84.

Advancers trailed decliners 192 to 280 in the broader market, with 1.63 billion securities worth $1.39 billion changing hands.

Most Asian indexes also fell. Hong Kong's Hang Seng Index closed 1.75 per cent lower and South Korea's Kospi slumped 1.57 per cent.

Japan's Nikkei index ended down 0.94 per cent, while the Kuala Lumpur Composite Index fell 0.73 per cent. The Jakarta Composite Index bucked the trend, climbing 1.07 per cent.

IG market strategist Yeap Jun Rong said overall sentiments remain "fragile". Chinese equities may remain in focus, he said, with the authorities announcing another package to help businesses cope with virus restrictions.

Economists have cut China's growth forecast in recent days again as stringent lockdowns hit economic activity.

China yesterday rolled out a broad package of support measures largely targeted at businesses struggling to cope with Covid-19 lockdowns, with limited relief for consumers facing job losses and sliding incomes.

The State Council outlined a 33-point plan that gives companies over 140 billion yuan (S$28.8 billion) in extra tax rebates and allows them to defer social insurance payments and loans. Additional emergency loans will go to the aviation industry, and railway construction will be boosted by 300 billion yuan of bonds.

Meanwhile, momentum in Britain's private sector slowed much more than expected this month, adding to recession worries as inflation pressures ratcheted higher, according to a business survey yesterday.