STI Drops 0.4% as Global Markets React to Economic Data
SINGAPORE: On Friday, 6 December, Singapore’s stock market opened with losses, reflecting a regional trend of declines across Asia. By 9:03 am, the Straits Times Index (STI) had fallen 0.4%—a decrease of 14.78 points—closing at 3,807.9, as reported by The Business Times.
The broader market experienced mixed movements with 56 stocks declining and 55 advancing. Around 54.3 million securities were traded, amounting to a total value of S$88.2 million.
Key Movers
OKH Global emerged as the most actively traded stock, with nearly 11 million shares changing hands. This spike followed the company’s announcement of its acquisition of Chip Eng Seng Construction for approximately S$118.5 million. The deal is expected to bolster OKH’s business operations and foster growth. As a result, OKH’s stock price rose by 7.7%, gaining S$0.002 to close at S$0.028.
Meanwhile, Singapore Post (SingPost) also witnessed notable trading activity, with 2.4 million shares exchanged. However, the company faced a setback as S&P Global Ratings placed it on CreditWatch negative, citing the sale of its Australian business and concerns about its revised strategic direction. SingPost’s shares fell 0.9%, losing S$0.005 to settle at S$0.585.
The banking sector saw a decline as well:
DBS dropped 0.6%, down S$0.27 to S$43.99.
OCBC slipped 0.3%, falling S$0.05 to S$16.32.
UOB decreased 0.9%, losing S$0.32 to close at S$36.83.
Regional and Global Context
Asian markets mirrored Wall Street’s negative sentiment as investors anticipated upcoming US jobs data, which could influence Federal Reserve policies. Stock indices in Japan and Australia also fell, contributing to the regional downtrend.
In the United States, major indices pulled back from record highs on Thursday. The S&P 500 dropped 0.2% to 6,075.11, ending a four-day streak of record-breaking gains. The Dow Jones Industrial Average fell 0.6% to 44,765.71, while the Nasdaq Composite declined 0.2% to 19,700.72.
Conversely, European markets saw gains, with the Stoxx 600 rising by 0.4%—marking its sixth consecutive session of growth. France’s CAC 40 climbed 0.3%, boosted by optimism surrounding a forthcoming budget despite political changes in the country.
As the global market landscape remains dynamic, Singapore investors continue to monitor economic indicators and geopolitical developments for future market direction.
