Singapore equities tumble to end week in red

OCBC Bank dropped 1 per cent or 11 cents to S$11.21 and United Overseas Bank fell 1.2 per cent or 28 cents to S$24.03.
OCBC Bank dropped 1 per cent or 11 cents to S$11.21 and United Overseas Bank fell 1.2 per cent or 28 cents to S$24.03. PHOTO: ST FILE

SINGAPORE - Singapore stocks tumbled further into the red on Friday (Aug 4), erasing gains from earlier in the week.

The benchmark Straits Times index (STI) slid 16.4 points, or 0.49 per cent, to 3,326.52 - down 4.23 points or 0.13 per cent for the week. Turnover across the bourse came up to 1.09 billion shares worth S$1.22 billion.

Most of the action here was centred around the local banks, in particular DBS Group Holdings, which announced an 8 per cent rise in second-quarter earnings to S$1.14 billion before the markets opened. But the counter sank 2.7 per cent or 59 cents to S$21.49 as the biggest laggard among the blue chips, after the bank warned provisions for its oil and gas portfolio could be higher than previously guided.

The other banks took a hit as well. OCBC Bank dropped 1 per cent or 11 cents to S$11.21 and United Overseas Bank fell 1.2 per cent or 28 cents to S$24.03.

On the other hand, CapitaLand jumped 3.5 per cent or 13 cents to S$3.87.

Elsewhere in Asia, markets were broadly mixed ahead of the United States non-farm payrolls. Tokyo dropped 0.38 per cent and Shanghai fell 0.33 per cent, while Hong Kong inched up 0.12 per cent. Wall Street put on just 0.04 per cent overnight.

Of the US jobs report expected later on Friday night, CMC Markets Singapore market analyst Margaret Yang said: "A higher figure indicates more employment and thus inflationary pressure, which will increase the likelihood of a December rate hike. A strong employment number also suggests faster economic growth and spending in the future, therefore is likely to send the US dollar higher. "A lower figure, however, will likely do the reverse."