Singapore stocks end lower on Tuesday; STI down 0.2%

SINGAPORE - Local shares pulled back on Tuesday as investor sentiment took a hit from the usual suspects – possible interest rate hikes by the United States Federal Reserve, inflation and worsening US-China ties.

The benchmark Straits Times Index fell 0.2 per cent or 5.09 points to end at 3,380.84. On the wider bourse, gainers outnumbered losers 298 to 235, after some 1.4 billion securities worth $1.2 billion changed hands.

For now, all eyes are on

Fed chair Jerome Powell’s upcoming speech.

IG market strategist Yeap Jun Rong said recent strength in the labour market has opened the door for “more hawkishness”.

“(Powell) sticking to his script at the recent Federal Open Market Committee meeting with not too many surprises could see risk sentiments recover,” said Mr Yeap.

Haw Par Corp was the biggest gainer by value on the Singapore Exchange on Tuesday, rising 2.3 per cent to $10.16.

Palm oil player First Resources was also among the top advancers, adding 6.6 per cent to $1.62. UOB Kay Hian had upgraded its call on the counter to “buy” from “hold”, citing its recent share price decline as a buying opportunity. The brokerage said it was expecting First Resources to outperform its peers in its fourth fiscal quarter.

Two of the three local lenders also came in among the top gainers. UOB added 0.7 per cent to $30.54, while DBS Group Holdings rose 0.4 per cent to $35.99. OCBC Bank inched up 0.2 per cent to $13.02.

Jardine Matheson Holdings was the biggest loser for the day, shedding 1.2 per cent to US$53.24.

Wilmar International was also among the top decliners, falling 1.7 per cent to $3.96. The agribusiness player has come under the spotlight on the back of the Adani group rout because of its joint-venture company, Adani Wilmar.

THE BUSINESS TIMES