Singapore shares rise 0.6% amid Wall Street, Asian markets gains
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The Straits Times Index gained 0.6 per cent, or 21.02 points, to 3,286.16 points.
PHOTO: ST FILE
Tay Peck Gek
SINGAPORE – Singapore shares rose on Tuesday, in tandem with overnight Wall Street gains and the spirited trading seen in most key Asian indexes after China pledged more support for its tepid economy.
The Straits Times Index (STI) gained 0.6 per cent, or 21.02 points, to 3,286.16 points.
Mr Tommy Xie, head of Greater China research at OCBC Bank, noted that Chinese leaders at the highly watched Politburo meeting on Monday introduced the principle of “activating the capital market and fortifying investor confidence”. This marks a departure from the usual emphasis on ensuring “stable and healthy development” of the capital markets.
This newly articulated vision signals a proactive approach towards rejuvenating market dynamism, and it is indicative of potential forthcoming policies, Mr Xie said.
“While the sweeping breadth of the topics was appreciated, the execution and depth of these policies will be the real test. The financial markets, both domestic and international, will keenly watch how China manages to implement these directives and counteract the challenges outlined in the meeting.”
In Singapore, mainboard-listed Chinese vessel-maker Yangzijiang Shipbuilding saw its shares close a whisker shy of its 52-week high at $1.52, up 1.3 per cent. The STI stock bounced from its low of 89 cents a year ago, rising by almost 70 per cent.
DFI Retail Group, another STI component stock, was the worst performer among the 30 blue chips. The retailer’s share price was down 2.2 per cent to US$2.70, making it one of three STI counters that closed in the red.
In the broader market, there were 363 gainers compared with 219 counters that declined, with about 1.3 billion securities valued at $1 billion transacted. THE BUSINESS TIMES
