Singapore shares end higher on Monday; STI up 0.5%
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STI rose 0.5 per cent or 17.48 points to 3,309.87, after 1.3 billion securities worth $906.6 million changed hands.
PHOTO: BT FILE
Tan Nai Lun
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SINGAPORE - Local stocks ended higher on Monday amid mixed trading in the region.
The benchmark Straits Times Index (STI) rose 0.5 per cent, or 17.48 points, to 3,309.87, after 1.3 billion securities worth $906.6 million changed hands. Gainers outnumbered losers 291 to 286.
Regional indexes were mixed. The Nikkei 225 rose 0.2 per cent and the FTSE Bursa Malaysia KLCI gained 0.04 per cent, while the Hang Seng Index slid 0.01 per cent and the Kospi Composite Index fell 0.9 per cent.
Mr Stephen Innes, managing partner at SPI Asset Management, said investors were feeling more positive as they anticipated a further decline in the upcoming US consumer price index (CPI) report, even as the 10-year yields in the US re-centred higher.
“The mood has shifted from pessimistic to mildly hopeful,” he said.
He noted that investors will monitor US yields closely, however, as a rise could harm global stocks, particularly if the US CPI numbers exceed projections.
Sembcorp Industries was the top gainer on the STI, climbing 8.8 per cent to $6.09. The energy player reported a 56 per cent rise in its first-half net profit to $608 million after accounting for the disposal of its Indian coal business, beating analyst expectations.
The top decliner was Thai Beverage, down 4.2 per cent to 57 cents.
Venture Corporation was also one of the top decliners on the index, falling 3.4 per cent to $13.89. The technology company reported a 19.7 per cent decline in net profit to $140 million for the first half of the year ended June, after market trading hours last Friday.
It attributed the “weaker set” of results to softening demand across the majority of its technology domains, as well as the de-stocking of customers’ inventory.
After the earnings disappointment, several analysts also cut their target prices on Venture Corp in anticipation of weaker near-term earnings, although they remained optimistic on the company’s overall growth trajectory.
The three local banks ended Monday higher. DBS Bank gained 0.3 per cent to $34.35, OCBC Bank rose 0.6 per cent to $13.02, and UOB climbed 0.2 per cent to $28.87. THE BUSINESS TIMES
