SINGAPORE – Gains on Wall Street for the third consecutive session spurred local shares higher on Wednesday.

The Straits Times Index (STI) added 0.6 per cent or 19.67 points to close at 3,165.50 with gainers easily outnumbering losers 323 to 213 on trade of 1.6 billion shares worth $1.1 billion.

IG market strategist Yeap Jun Rong said the fallout from a potential gridlock in the mid-term elections in the United States was “the key focus for now” given the largely quiet economic calendar.

However, most key Asian markets ended lower, as China’s producer price index fell 1.3 per cent year on year in October, pushing it into negative territory for the first time since December 2020.

Hong Kong’s Hang Seng Index fell 1.2 per cent, Japan’s Nikkei 225 lost 0.6 per cent and the Shanghai Composite shed 0.5 per cent although South Korea’s Kospi climbed 1.1 per cent, extending gains for the fourth day in a row on the back of a stronger won.

Australian shares were in the black as well, rising 0.6 per cent to hit a two-month high.

“Once again, the data could reflect the lacklustre demand conditions in China and suggest that more supportive policies can potentially be in place, although an economic reopening will still be the highest-conviction catalyst looked upon by markets,” Mr Yeap said.

Data centre firm Keppel DC Reit was the top performer among Singapore’s blue-chip stocks, gaining 3.5 per cent to $1.76.

At the bottom of the table was Hongkong Land – part of the Jardine Matheson Group – which fell 1.2 per cent to US$4.13.

Jardine Matheson Holdings was the only other decliner on the STI, falling 0.2 per cent to US$47.52.

Yangzijiang Shipbuilding was the most heavily traded STI stock for the second consecutive day, closing flat at $1.28 after 38 million shares changed hands.

The trio of local lenders all ended higher. DBS Bank edged up 0.2 per cent to $34.67, UOB climbed 1 per cent to $29.14, and OCBC Bank added 0.8 per cent to end at $12.25. THE BUSINESS TIMES