SINGAPORE – A cautious mood among investors in Singapore and across the region amid uncertainty over US interest rates and geopolitical tensions sent shares sliding on May 8.
The benchmark Straits Times Index (STI) fell 1.1 per cent or 35.51 points to close at 3,264.53, with losers outnumbering gainers 320 to 253 on trade of one billion securities worth $1.3 billion in the broader market.
Stocks in Japan, Hong Kong and Shanghai fell between 0.6 and 1.6 per cent. But Australian stocks built on recent gains to add a modest 0.1 per cent after hitting a four-week high in early trading. South Korea’s Kospi also rose, climbing 0.4 per cent.
“Profit-taking and position-trimming ahead of next week’s (US) inflation data may be contributing to the subdued market mood,” said Mr Stephen Innes from SPI Asset Management.
He noted traders’ caution following Wall Street’s subdued close overnight. The S&P 500 inched up 0.1 per cent on the back of more robust earnings reports, the same gains recorded by the Dow Jones Industrial Average – its fifth straight day of gains. But the tech-heavy Nasdaq dipped 0.1 per cent.
Banks contributed to the STI’s weakness, with OCBC, UOB and DBS all down.
OCBC, which was trading ex-dividend, was the top decliner, slipping 3.6 per cent to $13.75. UOB, which reported a 1.6 per cent year-on-year decline in first-quarter earnings, fell 2.2 per cent to $29.88 and DBS lost 0.6 per cent to $35.71.
Genting Singapore was the most active by volume, with 41.5 million shares traded. The counter fell 1.1 per cent to 87.5 cents.
Venture Corporation, which had underperformed earlier this week, was the top STI gainer, climbing 2.8 per cent to $13.80. Other top performers included Sats, up 1.2 per cent, and CapitaLand Integrated Commercial Trust, ahead 1 per cent. THE BUSINESS TIMES
