SINGAPORE shares fell very slightly on Wednesday (Sep 18), on the eve of an expected cut to interest rates by the Federal Reserve.
The Straits Times Index (STI) edged down 0.03 per cent or a point to close at 3,592.42. Across the broader market, losers beat gainers 201 to 187, with 872.3 million securities worth S$1.2 billion changing hands.
IG market analyst Yeap Jun Rong noted in a report published on Tuesday that in the past month, 27 out of the 30 STI constituents are in the black.
“A confluence of tailwinds currently stands in place for the broader index, which include the potential for catch-up performance with its global peers, increased traction for its composition of dividend-paying stocks amid lower bond yields, and ongoing focus by the authorities to increase value proposition for investors.”
Furthermore, he noted that there appears to be sustained net inflows into financials, real estate investment trusts (Reits) and telco Singtel.
“Such consecutive weeks of net institutional inflows are relatively rare, which could suggest some long-term bullish positioning for a more sustained turnaround,” Yeap said.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
On the STI, Sembcorp Industries was the top gainer, rising 2.1 per cent or S$0.11 to S$5.30.
Meanwhile, CapitaLand Ascendas Reit came in at the bottom of the table. The counter fell 2 per cent or S$0.06 to S$2.91.
Embattled private cord blood bank Cordlife also saw a significant rise in share price on Wednesday, gaining 17.7 per cent or S$0.026 to S$0.173.
According to Shareinvestor data, a single trade of 222,000 shares at S$0.176 conducted at 2.20pm accounted for almost a third of the counter’s trading volume on Wednesday. No married deals were recorded.
Regional indices were in the black on Wednesday. Japan’s Nikkei 225 rose 0.5 per cent, while Indonesia’s Jakarta Composite Index edged down 0.03 per cent and Malaysia’s Kuala Lumpur Composite Index declined 0.2 per cent.
