FTSE STI closed 3,181.50, up 13.63 points or +0.43% with a total volume of 3.68b and a total value of S$1.14b. Total number of advance vs decline was 242 vs 190. Of the 30 component index stocks, 20 closed positive, 1 unchanged and 9 in the red. The top 5 gainer component stocks were :-
1. JMH 400US$ +0.590
2. JSH 500US$ +0.550
3. UOB +0.150
4. CityDev +0.120
5. HKLand US$ +0.090
5. ST Engg +0.090
The top 5 loser component stocks were :-
1. Jardine C&C -1.040
2. SIA -0.260
3. SembMar -0.060
4. Kep Corp -0.050
5. Olam -0.030
US markets closed negative yesterday night while Asian bourses mostly rebounded from yesterday sell down. Nikkei +0.20% and both SSE and HSI were closed for China National Day. STI managed to rebound from yesterday sold down with a +0.43% closing. Volume and value were however thin for the day. 20 of the 30 index stocks posted gain.
With no surprise it was a no-show day and US Government confirmed shutdown temporary. The forever gridlock between the 2 political parties was to blame and looking at it they have never learn from their past lessons. However, do expect some days later another bill will pass to enable the Government to refunction again and after that they will shift to solve the debt ceiling issue. China released its official PMI for September coming in below expectation but despite slowing small improve from the month before.
STI crawled back some losses from yesterday but the thin trading indicating most still want to see how US markets going to react to the temporary shutdown. One thing which needed to stress is that though the temporary shutdown could hit the US economy but if rest of the world has the ability to cushion that impact, the global economy will not be badly hit. Strengthening on domestic growth is one of the measure that could build a buffer to issue like what US has created. As such, any panic in global markets selling down is never a correct move. Any panic sell down is a bargain hunting chance due to fundamental reason.
