FTSE STI closed 3,059.43, up 12.75 points or +0.42% with a total volume of 2.05b and a total value of S$1.38b. Total number of advance vs decline was 250 vs 141. Of the 30 component index stocks 15 closed positive, 6 unchanged and 9 closed negative. The top 5 gainer component stocks were :-
1. JMH 400US$ +1.250
2. JSH 500US$ +0.200
3. Jardine C&C +0.200
4. UOB +0.120
5. DBS +0.110
The top 5 loser component stocks were :-
1. SembMar -0.030
2. SIA -0.030
3. SPH -0.020
4. SembCorp -0.020
5. ST Engg -0.020
5. SIA Engg -0.020
US markets dropped average 0.50% yesterday after a weaker than expected new home sales data and concern on EU debt crisis. Asian bourses were however on the positive side for the day with Nikkei +0.48%, SSE +2.60% and HSI +1.14%. STI closed +0.42% in a volume of more than 2 billion with 15 of the 30 index stocks register positive closing.
Firstly, anti-austerity protests in Spain and Greece brought concern on EU debt crisis. Like mentioned before ECB recent action is just a stopper to credit crunch and will not solve the core issue. Investors will have to wait till next month 18th - 19th EU Summit to see any potential follow up of austerity vs growth policies and that focus will be the resolution to the core of EU debt crisis.
Investors were also speculating China Government could roll out stimulus or ease monetary policies which caused SSE to rally more than 2% spreading the sentiment to rest of the world. China will be having the national holiday next week and that could be a timing for China Government to dish out some easing policy.
STI continued the 3Q window dressing started yesterday with those stocks being dressed up yesterday continued to do so and some others joined in today also. Will be an interesting day tomorrow as suppose nobody in particular the fund managers want to be a loser for 3/4 of 2012.
