FTSE STI closed 3,369.90, down 32.49 points or -0.95% with a total volume of 1.91b and a total value of S$1.48b. Total number of advance vs decline was 129 vs 278. Of the 30 component index stocks, 10 closed positive, 1 unchanged and 19 in the red. The top 5 gainer component stocks were :-
1. JSH 500US$ +0.220
2. JMH 400US$ +0.200
3. CityDev +0.120
4. GLP +0.030
5. SGX +0.020
The top 5 loser component stocks were :-
1. UOB -0.200
2. Genting SP -0.125
3. SingTel -0.120
4. Jardine C&C -0.120
5. OCBC -0.120
5. DBS -0.120
US markets rose at least 0.90% yesterday reclaimed whatever was loss the previous day as jobless claims and trade deficit data came in better than expected coupling with ECB lowered interest rate from 0.75% to 0.5%. Asian bourses were mixed for the day. Nikkei closed for holiday, SSE +1.45% and HSI +0.10%. STI a total contrast of yesterday giving back almost all those gain to close -0.95% in another thin volume and value day. Of the 30 index stocks, 10 managed to register positive closing.
Firstly, like most expected ECB lowered interest rate but what followed was ECB stressed that it can bring down deposit rate to negative should EU economy still weak. China reported its official service PMI this morning coming in 54.5 from 55.6 in March. Singapore also reported its April PMI though weak but still in expansion mode. Watchful event tonight would be US non-farm payroll data. It will be again a dual view event. Should it still remain weak, rest assure US Fed will be there with the monetary easing policies to support it and should it get better it is showing US labor market is recovering. As a whole, not much of an event.
STI activity was dominated by the blue chips in which investors taking profit from yesterday surge while the broader market still remain muted and weak. Investors are having a mindset of sell on up day and buy on low day resulting in STI going nowhere. Catalysts are needed to firm up the movement.