FTSE STI closed 3,349.66, up 4.67 points or +0.14% with a total volume of 1.63b and a total value of S$1.21b. Total number of advance vs decline was 224 vs 186. Of the 30 component index stocks, 15 closed positive, 2 unchanged and 13 in the red. The top 5 gainer component stocks were :-
1. JMH 400USD +0.320
2. OCBC +0.130
3. Jardine C&C +0.120
4. CityDev +0.110
5. SGX +0.090
The top 5 loser component stocks were :-
1. JSH 500USD -0.260
2. UOB -0.100
3. Sembcorp -0.080
4. DBS -0.080
5. Kepcorp -0.060
US markets closed flat yesterday, Asian bourses were also mixed for the day but mostly in the positive. Nikkei -0.14%, SSE +1.45% and HSI +1.12%. STI swinging between gain and loss eventually closed flat in typical daily volume and value with 15 of the 30 index stocks posted gain.
US 3Q GDP came in at +3.9% better than the expected +3.5% and that caused US markets to rise in the earlier part of the day but failed to hold on to the gain closing flat as investors switched their focus to the coming OPEC meeting. There are divided views that OPEC might cut supply to support the falling oil price but there are also doubts that OPEC might not nothing at all. For Asian markets, the positive sentiment for SSE continued after PBOC did an interest rate cut. With the SSE-HKEx connect in operation, paving way for funds to buy into China A Shares, the interest rate cut news led to "panic" buying in both SSE and HSI.
While STI does not benefit from the SSE-HKEx connect and though market closed flat for the day, the general sentiment is biased towards the upside. While blue chips might still be in range bound mode, the laggards are starting to attract bargain hunting especially those with better fundamental. Should the upward momentum continues, one can expect analysts starting to roll out the buy calls; a call which months ago they termed as sell. Ironical !
