S'pore benchmark dips despite strong advances elsewhere

Singapore stocks eased yesterday after torrid gains during the previous trading session, despite strong advances in key global indexes.

In contrast, market sentiment was broadly positive in Asia. Japan's Nikkei 225 index ended yesterday 0.91 per cent higher at 24,325.23, its highest level since 1991. Hong Kong's Hang Seng Index and South Korea's Kospi also ended the trading session with gains of 0.07 per cent and 0.11 per cent respectively.

Benchmark indexes for the neighbouring markets of Jakarta, Kuala Lumpur and Bangkok were up by bigger margins of 1.43 per cent, 1.21 per cent and 0.48 per cent respectively.

Against this backdrop, the Straits Times Index's (STI) decline of 9.94 points, or 0.38 per cent, to 2,578.68 seemed rather disappointing.

Sentiment across the broader market was soft too, with advancers lagging decliners 185 to 226.

The biggest gainers within the STI were the relatively illiquid Jardine Cycle & Carriage and Dairy Farm International, which ended yesterday 4.33 per cent and 4.08 per cent higher respectively.

Genting Singapore was in a distant third place, with a gain of just 0.74 per cent.

Despite falling back yesterday, the STI is still up 154.84 points, or 6.39 per cent, for the week.

Mapletree Industrial Trust, which was the biggest decliner within the STI yesterday, slipping 2.74 per cent lower, is actually still more than 4.9 per cent higher than a week ago.

Similarly, Singtel declined 1.83 per cent yesterday, making it the second-worst performer within the STI; but it is still more than 5.9 per cent higher than last Friday.

The three local banks, which account for more than one-third of the STI, also had a good week.

DBS Bank was up more than 10.5 per cent versus last Friday, while OCBC Bank and United Overseas Bank were up nearly 6.1 per cent and 7.7 per cent respectively.