FTSE STI closed 3,279.88, up 12.48 points or +0.38% with a total volume of 1.16b and a total value of S$930M. Total number of advance vs decline was 249 vs 180. Of the 30 component index stocks, 16 closed positive, 3 unchanged and 11 in the red. The top 5 gainer component stocks were :-
1. Jardine C&C +0.770
2. JSH USD +0.440
3. SGX +0.150
4. HongkongLand USD +0.140
5. DBS +0.130
The top 5 loser component stocks were :-
1. SIA -0.150
2. UOB -0.060
3. StarHub -0.030
4. SIA Engg -0.030
5. Wilmar -0.020
5. JMH USD -0.020
US markets closed positive yesterday and Asian bourses mostly closed positive with Nikkei -0.38%, SSE +4.57% and HSI +2.08%. STI rebounded from yesterday drop with a closing of +0.38% in thin volume and value with 16 of the 30 index stocks posted gain.
The Greece issue and China stock market fear got eased off with US markets staging a rebound. Asian markets with the lead from US markets overnight and China stock market continued the rebound mostly managed to record positive closing. Details of the new Greek proposal with reform on tax and pension slightly tilt the sentiment towards a possible bailout deal this Sunday from EU leaders. In addition, Greek Government will also be voting today of the draft proposal in which most will expect it to be passed. Though the Greek deal could be agreed on this Sunday but is not end of the saga as the mountain of debt Greece has to service for remaining of this year is not something to ignore. Furthermore, Greek in recent referendum vote to against austerity and yet with the new proposal nothing much has changed from austerity and in the end it is just coming back to the starting point again. As for China stock market, possible to say worst is over but don't expect a sharp rebound too as those more than half of the listed companies that were halted due to the melt down will resume trading soon and investors have to see how the selling being absorbed by it. What China market needs now is stabilize and not volatility.
STI recovered part of yesterday sell down as bargain hunt came in and also some optimism that the Greece saga is going to solve this Sunday. Though earning season has started but have to wait till the week after next when most of the companies starting to release their earning. Hence, next week still have the time to slowly accumulate on weakness.
