Singapore’s STI crosses 4,000 mark for the first time before closing 0.2% down

SINGAPORE – It was a red-letter day – at least initially – for local shares on March 28 when the Straits Times Index (STI) crossed the 4,000-point mark for the first time. 

The STI hit 4,005.18 shortly after the session opened, surpassing the record high of 3,991 points clocked the day before, but then the heat went out of the market.

The index closed at 3,972.43, down 9.14 points or 0.2 per cent from the day before. Across the broader market, losers pipped gainers 251 to 230 on trade of 1.3 billion shares worth $1.3 billion.

Singapore Exchange market strategist Geoff Howie said: “The charge to the 4,005.18 all-time high coincides with above-trend gross domestic product growth in 2024 at 4.4 per cent, and a cautiously optimistic market outlook for 2025.”

The exchange noted that the benchmark index maintains one of the highest dividend yields in the region.

Ms Daphne Tan, business development director at CMC Markets Singapore, said: “The STI breaking 4,000 is a key psychological milestone, which could be interpreted as strong investor confidence, resilient blue-chip performance and a favourable economic climate.”

Singapore’s trio of banks, which account for more than half of the index, had a forgettable day. DBS closed at $46.47, down 0.24 per cent, UOB dropped 0.44 per cent to $38.09, while OCBC Bank ended down 0.46 per cent at $17.30.

The STI heroics followed another lacklustre session on Wall Street overnight after the White House announced new tariffs on auto firms. The S&P 500 fell 0.3 per cent, while the Nasdaq lost 0.5 per cent and the Dow Jones Industrial Average ended 0.4 per cent lower.

Regional markets almost all followed in lockstep. The Nikkei in Tokyo slumped 1.8 per cent, the Hang Seng in Hong Kong was down 0.65 per cent and the Kospi in Seoul dived 1.89 per cent.

The standout was in Australia, where the ASX see-sawed all day before closing up 0.16 per cent.