FTSE STI closed 3,437.61, up 16.31 points or +0.48% with a total volume of 1.07b and a total value of S$1.25b. Total number of advance vs decline was 226 vs 194. Of the 30 component index stocks, 15 closed positive, 2 unchanged and 13 in the red. The top 5 gainer component stocks were :-
1. DBS +0.120
2. SingTel +0.120
3. ComfortDelGro +0.110
4. ST Engg +0.090
5. HongkongLand USD +0.080
5. SIA +0.080
The top 5 loser component stocks were :-
1. JMH USD -1.110
2. Jardine C&C -0.300
3. JSH USD -0.160
4. SGX -0.090
5. SIA Engg -0.060
US markets closed mixed yesterday and Asian bourses were mixed with mostly positive. Nikkei +0.74% hitting another 15-year high, SSE still closed for CNY holiday and HSI -0.35%. STI recovered yesterday drop with a +0.48% closing in typical daily volume and value with 15 of the 30 index stocks posted gain.
Both DJ & S&P500 pulled back from record high while Nasdaq edging towards the 5,000 level as investors took a pause ahead of tonight US Fed Chairman's testimony in front of Congress. Many will be watching for cue of when interest rate will hike. Greece submitted the list of reform proposals to international creditors and by tonight will know whether the creditors will accept those. A green light means another 4-month extension to its debt. A straight will see Greece headed to default. Asian markets were mixed as investors cautious ahead tonight US Fed Chairman's testimony. The focus should not be when US will hike interest rate or how many basis point it will be but rather the pace of the hike.
STI regained yesterday loss after investors digested the Singapore Budget. From personal perspective, there were incentives and should be pleased on especially for the middle-income family and the elderly. However, from economy perspective, questions were raised as the budget lacked substance. The big issue with Singapore economy growth lately was stalling export and deflation but none of the Singapore Budget provided any measures to counter-act those two. Increase in infrastructure spending could be seen as a form of stimulus but is not a direct solution to those 2 issues.
