Singapore stocks slip 0.5% as Asian markets tumble

The Straits Times Index slipped 0.5 per cent or 17.38 points to 3,155.54. PHOTO: ST FILE

SINGAPORE – So much for the rally: After snapping a five-day losing streak on Wednesday, local stocks fell again on Thursday amid a regional decline sparked by banking sector concerns.

The Straits Times Index (STI) slipped 0.55 per cent, or 17.38 points, to 3,155.54, as losers in the broader market outstripped gainers 298 to 210 on trade of 1.9 billion shares worth $1.3 billion.

There was plenty of bloodletting elsewhere, with indices in Japan, Australia, Hong Kong and Shanghai down between 0.8 per cent and 1.7 per cent as energy, tech and bank shares took big hits.

That followed a similar session on Wall Street, with the S&P 500 down 0.7 per cent and the Dow Jones off 0.9 per cent, although the tech-focused Nasdaq did inch up 0.1 per cent.

“There is no question the US-centric banking crisis has since dramatically shifted globally,” said Mr Stephen Innes, managing partner of SPI Asset Management.

“Beyond contagion risks in the banking system, the focus is now squarely on spillovers in the form of growth risks, which could wreak havoc on the global economy as banks tighten lending controls.”

Singapore’s three local banks reflected those concerns: DBS Group Holdings, OCBC Bank and UOB all closed the day in negative territory, falling between 0.7 per cent and 1.3 per cent.

The bottom three STI performers for the day were all Jardine entities. Hongkong Land fell 5.2 per cent, DFI Retail Group slipped 3.3 per cent while Jardine Matheson Holdings ended 2.1 per cent lower.

Meanwhile, real estate investment trusts (Reits) mostly closed higher, with Mapletree Industrial Trust (MIT) and CapitaLand Integrated Commercial Trust (CICT) the top two STI performers.

MIT rose 2.6 per cent to $2.37. CICT added 2.1 per cent to $1.92.

Sembcorp Marine continued to be the most actively traded counter by volume. The shares rose 4.8 per cent to 11 cents after 576.9 million shares changed hands. THE BUSINESS TIMES

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