FTSE STI closed 3,215.09, down 79.05 points or -2.40% with a total volume of 1.23b and a total value of S$1.45b. Total number of advance vs decline was 96 vs 337. Of the 30 component index stocks, 3 closed positive and 27 in the red. The 3 gainer component stocks were :-
1. SembMar +0.020
2. SIA +0.010
3. SIA Engg +0.010
The top 5 loser component stocks were :-
1. Jardine C&C -1.520
2. UOB -0.840
3. DBS -0.610
4. JSH 500USD -0.550
5. OCBC -0.330
US markets fell again yesterday and Asian bourese were mostly in the red with Nikkei -2.01%, SSE +2.30% and HSI -1.55%. STI suffered its biggest drop of the day recording a drop of 2.40% in typical daily volume and value with only 3 of the 30 index stocks posted gain.
US markets started positive but failed to hold on to the gain as oil price continues its decline. Asian markets suffered another sell off except for SSE. China HSBC flash PMI for December contracts to 49.5 from a reading of 50 in November. However, the bad data only increase the possibility of Chinese Government unveiling stimulus and that allowed SSE to buck the trend of closing more than +2%. Crude oil continued the decline with Brent Crude falling below US$60/barrel. Investors will be focusing on US Fed FOMC meeting starting today.
STI suffered its biggest drop of the day weighed down by SingTel, bank and the Jardine group of stocks. The blue chip selling off should be due to post year end window dressing by fund managers which ended last Friday. Though oil price still on the drop, oil-related stocks did not suffer as heavy sell down as the rest. The current drop could be an opportunity for bargain hunt especially those fundamentally sound stocks.
