Singapore stocks end higher after positive China PMI data

SINGAPORE - Singapore shares climbed on April 1 after the Good Friday weekend, on the back of data showing that China’s manufacturing activity expanded in March.

The benchmark Straits Times Index (STI) closed at 3,234.89, up 0.3 per cent, or 10.88 points.

Across the broader market, advancers outpaced decliners 258 to 149, with 1.9 billion securities worth $809.63 million changing hands.

Over the weekend, China’s manufacturing purchasing managers’ index (PMI) from its National Bureau of Statistics entered expansion territory at 50.8. The Caixin/S&P Global manufacturing PMI hit an 11-month-high of 51.1 in March. The 50-point mark separates growth from contraction.

Maybank analysts said the official manufacturing PMI adds to data that points to “a fairly solid first quarter” for China.

“However, it could also put the Chinese government on hold in rolling out bigger monetary and fiscal stimulus to provide an additional much-needed boost to the economy,” they said in a note.

China markets reacted positively to the news. The Shanghai Stock Exchange Composite Index was up 1.2 per cent, while the Shenzhen Component Index expanded 2.6 per cent. The Hong Kong market was observing a public holiday.

Other regional markets were mixed. The FTSE Bursa Malaysia Kuala Lumpur Composite Index rose 0.5 per cent, but Japan’s Nikkei 225 slid 1.4 per cent. South Korea’s Kospi Composite Index edged up 0.04 per cent.

On the STI, offshore and marine company Seatrium was the top gainer as it climbed 10.1 per cent to 8.7 cents. Technology services provider Venture Corporation was the biggest loser, closing down 1 per cent to $14.13.

Two of the three local banking stocks gained ground. UOB was up 0.4 per cent to $29.44, and OCBC Bank gained 0.5 per cent to $13.56. DBS Bank, however, contracted 0.3 per cent to close at $35.91.

THE BUSINESS TIMES