Singapore stocks buck downtrend in key Asian markets

SINGAPORE – Local shares were spared the rout in other Asian markets on Friday, thanks to a buoyant afternoon session that managed to claw back losses from the morning.

The late rally helped the Straits Times Index (STI) end 8.41 points, or 0.25 per cent, higher at 3,321.82, and 0.6 per cent ahead for the week.

However, losers outgunned gainers 289 to 255 on trade of 1.28 billion shares worth $1 billion.

Asian markets were a sea of red after a fairly mild sell-off on Wall Street overnight, with all three key indices in decline.

Investor concerns centred on fears that the Federal Reserve could further raise interest rates, a slowing economy with accompanying recession fears, as well as lacklustre earnings from Tesla and several regional banks.

Shanghai was down 1.95 per cent, the Nikkei in Tokyo slumped 0.33 per cent, Hong Kong’s Hang Seng tumbled 1.57 per cent, while the Kospi in Seoul fell 0.73 per cent and Australian stocks dipped 0.43 per cent.

“Indeed, weaker US data and softer earnings reports set an unsavoury breakfast table for Asia to wake to,” said SPI Asset Management managing partner Stephen Innes.

Singapore Airlines posted a 0.5 per cent gain to $5.86. The group flew 2.7 million passengers in March, up 14.1 per cent month on month at a group load factor of 89 per cent, or 2.4 percentage points higher than February.

Another STI stock, Genting Singapore, closed 1.8 per cent up at $1.16, a day after Singapore achieved post-pandemic record-high tourist arrivals of one million in March.

CGS-CIMB raised its target price on the integrated resort operator from $1.15 to $1.26 after the good performance of its peer, Marina Bay Sands.

The analyst’s higher projections are based on expectations that the group’s profitability will continue to improve throughout the year, as flight capacities to and from China gradually increase with the country’s reopening.

THE BUSINESS TIMES