FTSE STI closed 3,201.27, up 10.19 points or +0.32% with a total volume of 1.60b and a total value of S$1.02b. Total number of advance vs decline was 227 vs 170. Of the 30 component index stocks, 18 closed positive, 4 unchanged and 8 in the red. The top 5 gainer component stocks were :-
1. Jardine C&C +0.210
2. UOB +0.140
3. GLP +0.130
4. CityDev +0.120
5. Semb Corp +0.060
5. StarHub +0.060
The top 5 loser component stocks were :-
1. JMH 400US$ -0.200
2. JSH 500US$ -0.080
3. SIA Engg -0.030
4. SingTel -0.030
5. Kep Corp -0.020
US markets closed positive with both DJ and S&P500 hitting new record high. Asian bourses taking the cue also moved up for the day with Nikkei +1.95%, SSE +1.68% and HSI +1.69%. STI though positive but was under performing compared with regional bourses closing just +0.32% in thin volume but slightly higher value. 18 of the 30 index stocks recorded positive closing.
Janet Yellen, the next US Fed Chief's testimonial of US economic growth is not enough to start withdrawing stimulus did the trick sending global markets higher. With that US Fed should not be start tapering this year and that eased some worries of possible tapering next month. Other than that, there isn't much news to drive markets further up.
The positive closing of STI lack convincing that investors are coming back to the market. The upside is very resistive at the moment probably due to funds selling off to close portfolio for the year. As US markets are hitting new high, there is also possibility that funds could be moving back to US or selling off in STI to book gain so that their overall portfolio do not under perform the US indices. However, investors really have to think deeply that is US markets hitting record high really justifiable in term of fundamental.
