[SINGAPORE] The Straits Times Index (STI) continued to rally, tracking regional indices on Tuesday (Apr 15).
The STI closed up 2.1 per cent or 75.81 points at 3,624.72.
Across the broader market, advancers outnumbered decliners 331 to 187, with 1.2 billion shares worth S$1.4 billion having changed hands.
The trio of local banks continued their ascent on Tuesday, with DBS up 3 per cent or S$1.15 at S$39.96. OCBC closed up 2.6 per cent or S$0.39 at S$15.57, and UOB up 3 per cent or S$0.99 at S$33.91.
The top gainer was Fraser’s Logistics and Commercial Trust, closing up 6.1 per cent or S$0.05 at S$0.87.
The biggest loser was Wilmar, closing down 1.9 per cent or S$0.06 at S$3.09.
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Across the region, major indices closed higher, with the Kospi up 0.9 per cent and the Nikkei 225 up 0.8 cent. Hong Kong’s Hang Seng Index closed up 0.2 per cent, and the KLCI was up 0.4 per cent.
A rally in big tech is being fuelled by US President Donald Trump’s softer stance on electronic imports from China, noted José Torres, senior economist at Interactive Brokers. Animal spirits have been bolstered by The White House’s empathetic tilt, with investors buying not just tech, but also treasuries and commodities. Optimism is also rising on expectations of a robust US retail sales report coming out on Wednesday.
The softening in the trade rhetoric is being seen as a bullish sign that the Trump administration is becoming attentive to capital market developments, said Torres. The optimistic start to the week is fuelled by hopes of tactful negotiations by the White House, bolstering economic growth expectations.
“Even though volatility has been declining heavily, it remains well above historical averages, signalling the expectation of ongoing turbulence in stocks and rates alike,” said Torres.