S'pore stocks reverse gains as Asian markets close mixed

Singapore stocks yesterday reversed gains as the benchmark Straits Times Index (STI) dipped 0.55 per cent to close at 3,192.17.

This followed an overnight retreat on Wall Street, ahead of a heavy week of earnings in the US.

Mr Edward Moya, senior market analyst for The Americas at Oanda, said Wall Street "could be in for a few choppy trading weeks as more of the same strong earnings beats become the theme". US stocks "appear to have hit a top as all the good news from corporate America has been mostly priced in and as the pause in rising yields continues".

On the local bourse, Singapore Airlines (SIA) and Sats were among the STI's worst performers for the second day in a row. SIA closed 2.87 per cent lower at $5.08 and Sats fell 2.12 per cent to $4.16.

Singtel was also one of the top decliners, falling 2.69 per cent to close at $2.53. The telco said it is reviewing its options in relation to Advanced Info Service (AIS), after Thai power producer Gulf Energy Development launched a bid for AIS and its controlling shareholder on Monday. However, analysts were unimpressed with the conditional voluntary offer.

The trio of local banks ended the day mixed. UOB gained 0.15 per cent to close at $26.27 while OCBC fell 0.33 per cent to $11.92. DBS ended flat at $29.02. Citi Research analyst Robert Kong yesterday said in a note that he remains positive on Singapore banks, adding that they are, "in several ways, a standout in the Asia banks universe".

On the broader market, decliners outnumbered advancers 280 to 184, as 1.61 billion securities worth $1.37 billion changed hands.

Across the region, Asian markets ended the day mixed. Fears of possible fresh Covid-19 lockdowns in Japan drove the Nikkei down 1.97 per cent. In South Korea, the Kospi advanced 0.68 per cent to end at 3,220.7, a record closing high. The Shanghai Composite Index lost 0.13 per cent while the Hang Seng closed 0.1 per cent higher.