Singapore shares track regional declines on Monday; STI down 0.2%

SINGAPORE shares ended lower on Monday (Jan 27), tracking declines in the region.

The benchmark Straits Times Index declined 0.2 per cent or 7.55 points to 3,796.71. Across the broader market, losers outnumbered gainers 277 to 242, after one billion securities worth S$1.1 billion changed hands.

Key indices in the region mostly ended lower on Monday. Japan’s Nikkei 225 and the FTSE Bursa Malaysia KLCI were each down 0.9 per cent, and the Shanghai Stock Exchange Index lost 0.1 per cent.

Meanwhile, Hong Kong’s Hang Seng Index gained 0.7 per cent.

IG market strategist Yeap Jun Rong noted that US equity futures started the week in the red. “Volatility sets the tone to start the week as market participants reveal some hesitancy ahead of an onslaught of US tech earnings this week.”

Meanwhile, investors remain mindful of the upcoming Federal Reserve meeting, which will likely be a non-event, said Vishnu Varathan, head of Asia excluding Japan macro research at Mizuho Securities.

He noted that the Fed is widely expected not to move, while “highly consequential Trump 2.0 uncertainties” continue to stymie clarity on the optimal policy course.

“What’s underappreciated is that the near-certainty of non-action in January stands in stark contrast to pronounced uncertainty about the policy path forward. This sets the stage for greater (downside) volatility in yields further out,” he said.

On the STI, Venture Corporation was the biggest decliner, declining 3.8 per cent or S$0.50 to S$12.58.

ST Engineering was the biggest gainer, rising 1.5 per cent or S$0.07 to S$4.86.

The local banks saw mixed trading. DBS rose 0.2 per cent to S$43.60, OCBC gained 0.1 per cent to S$17.09, while UOB lost 0.6 per cent to S$37.02.