THE Straits Times Index (STI) has gained 5.5 per cent in the past six weeks, with dividends boosting total return to 7.4 per cent, Singapore Exchange (SGX) market strategist Geoff Howie said in a market update on Tuesday (May 28).
The STI finished the May 27 session at 3,318.45, its highest close since August 2023, noted Howie. In the period from Apr 16, when it closed at 3,144.76, the STI gained 5.5 per cent.
The local benchmark marginally outpaced the broader FTSE Asia Pacfic Index, which recorded 5.3 per cent total return in Singapore dollar terms.
In the six-week period, the two STI exchange-traded funds moved in tandem, averaging 7.1 per cent returns, said Howie.
“The increasingly cautiously optimistic outlook for industrial-driven global growth into 2025 has also seen the iEdge SG Manufacturing Index moving in tandem with the STI, with an 8 per cent total return,” he added.
Meanwhile, the sustained, less doveish outlook for global interest rates into 2025 saw the iEdge S-Reit Index generate a 1.1 per cent total return.
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Over the six-week period, the Singapore stock market booked approximately S$300 million of net institutional inflow. Banks, financial services and real estate management and development recorded the most net institutional inflow in absolute terms.
The net institutional fund flows indicate the direction and level of institutional investor activity across all stocks in the Singapore market. The healthcare and energy sector also booked net institutional inflow, whereas the remaining sectors booked net institutional outflow, said Howie.
The trio of banks led the broader market net institutional inflow with combined net inflow of close to S$600 million from Apr 16 till May 27.
The real estate and management sector booked the third-highest net institutional inflow since Apr 16, with the top three stocks being Hongkong Land : H78 0%, City Developments : C09 0% and UOL : U14 0%.
The top 10 stocks in this sector also booked gains over the six-week period, ranging from a 0.2 per cent gain for UOL to a 63.4 per cent total return for Yoma Strategic Holdings : Z59 0%.
Among the most actively traded stocks, Yoma Strategic Holdings booked the second-highest net institutional inflow relative to market capitalisation, after Samudera Shipping, said Howie. “Maritime-related stocks were clearly in play over the six weeks, as Yangzijiang Shipbuilding : BS6 0%, Dyna-Mac Holdings : NO4 0% and Marco Polo Marine : 5LY 0% made up the next three stocks in the ranking.”
