1. JMH 400US$ +1.400
2. JSH 500US$ +0.300
3. CityDev +0.080
4. CapMallsAsia +0.005
The top 5 loser component stocks were :-
1. KepCorp -0.650
2. SIA -0.450
3. SembMar -0.420
4. HKLand US$ -0.360
5. SembCorp -0.320
US markets rebounded yesterday night with at least 3% on the average after days of selling down since the downgrading of the credit rating. US Fed maintained low interest rate for the time being and commented on will use whatever tools to inject stimulus to help recover the US economy if needed. This some how has given a little confident to the investors that caused the rebound. Asian bourses taking the cue also rebounded from past days of selling down. Nikkei closed +1.05%, SSE +0.91% and HSI +2.34%. STI however was closed down 2.18% due to the fact STI was closed for National Day yesterday and the selling was catching up with the rest of the regional bourses which were trading yesterday. The high volume has caused concerned of funds selling out and until that has dried up, market will still be volatile and no sight of bottom to be spotted at the moment. The support at 2,650 will be closely monitored given that that was the bottom last year when European debt first resurfaced when globally were concerned of a double-dip recession.
Singapore this morning reported a 2Q GDP of +0.9% better than expected but a contraction of 6.5% from 1Q. Should another quarter of contraction, Singapore would enter technical recession. If so, the current drop in stock market will be factoring that scenario.
