Bulls And Bears
STI starts week on upbeat note, following tune from US
• Advancers outpace losers 244 to 211 across broader market • Tech counters, local lenders among strong performers • Asian markets mostly end in the black but KLCI falls 0.6%
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Uma Devi
Local shares began the week on a more upbeat note following a positive handover from Wall Street indexes last week. The benchmark Straits Times Index rose 0.4 per cent or 12.13 points to finish yesterday at 3,240.58. Across the broader market, gainers beat losers 244 to 211, after 1.9 billion securities worth $1.1 billion changed hands.
IG market strategist Yeap Jun Rong said traders are likely to be keeping a close watch over the series of economic data from China, which includes its industrial production, retail sales and fixed asset investment.
The relationship between the US and China will also be in focus, he noted. "Previous indications of both parties' intention to cooperate may set a positive tone for the meeting, but any negative surprise from the event may potentially add new risks to markets."
Tech plays were among the biggest gainers yesterday. iFast Corporation rose 1.6 per cent or 14 cents to $8.86; AEM added 2.3 per cent or 11 cents to $4.89, while Venture Corporation gained 0.5 per cent or 9 cent to $19.14. Singapore Exchange market strategist Geoff Howie said four of the six most traded tech counters - AEM, UMS, Frencken and ISDN - had provided third-quarter business updates last week. "All four stocks acknowledged strong demand for semiconductors," he said in a note.
Local lenders were also among the strongest performers. DBS Bank rose 0.5 per cent or 15 cents to $32.19, UOB gained 0.4 per cent or 11 cents to $27.68, and OCBC, 0.6 per cent or 7 cents to $11.87.
Hatten Land, which announced on Sunday it had narrowed its first quarter loss to RM16 million (S$5.2 million) from RM16.6 million in the year-ago period, was one of the most actively-traded stocks as investors piled into the counter. Hatten Land finished the day at 6.6 cents, up 6.5 per cent or 0.4 cent with 101.1 million shares changing hands over the course of the day.
In Asia, markets mostly ended in the black. The Nikkei 225 rose 0.6 per cent, the Hang Seng Index 0.3 per cent, and the Kospi 1 per cent, but the KLCI fell 0.6 per cent.
