Additional Support Predicted For Singapore Stock Market

(RTTNews) - The Singapore stock market has moved higher in three straight sessions, gathering more than 85 points or 2.4 percent along the way. The Straits Times Index now sits just above the 3,415-point plateau and it may extend its gains on Thursday.

The global forecast for the Asian markets is firm on an improved outlook for interest rates. The European markets were up and the U.S. bourses were mixed and the Asian markets figure to split the difference.

The STI finished sharply higher on Wednesday following gains from the financial shares, property stocks and industrial issues.

For the day, the index jumped 47.61 points or 1.41 percent to finish at 3,415.51 after trading between 3,387.46 and 3,420.91.

Among the actives, CapitaLand Investment climbed 1.52 percent, while City Developments advanced 0.76 percent, Comfort DelGro lost 0.74 percent, DBS Group accelerated 2.32 percent, Genting Singapore spiked 2.41 percent, Hongkong Land perked 0.31 percent, Keppel DC REIT gained 0.55 percent, Keppel Ltd jumped 1.73 percent, Mapletree Pan Asia Commercial Trust sank 0.81 percent, Mapletree Logistics Trust tumbled 2.29 percent, Oversea-Chinese Banking Corporation collected 1.22 percent, SATS surged 3.89 percent, Seatrium Limited added 0.71 percent, SembCorp Industries soared 3.44 percent, Singapore Technologies Engineering rose 0.47 percent, SingTel rallied 2.16 percent, Thai Beverage dropped 1.14 percent, Wilmar International strengthened 1.63 percent, Yangzijiang Financial slumped 1.43 percent, Yangzijiang Shipbuilding gathered 0.41 percent and CapitaLand Integrated Commercial Trust, Emperador, Mapletree Industrial Trust and Frasers Centrepoint Trust were unchanged.

The lead from Wall Street is inconsistent as the major averages opened slightly higher on Wednesday and hugged the line for the first half of the day before diverging to finish mixed.

The Dow dipped 23.90 points or 0.06 percent to finish at 39,308.00, while the NASDAQ gained 159.54 points or 0.88 percent to end at a record 18,188.30 and the S&P 500 added 28.01 points or 0.51 percent to close at 5,537.02 - also a record.

The strength on Wall Street reflected optimism about the outlook for interest rates following the release of weaker than expected economic data.

The Institute for Supply Management showed an unexpected contraction by U.S. service sector activity in June. Also, the Labor Department noted a modest increase by first-time claims for U.S. unemployment benefits last week.

However, overall trading activity remained somewhat subdued and treasuries moved notably higher in reaction to the weaker than expected data. The markets closed earlier than usual and remain closed for the Independence Day holiday on Thursday.

Oil prices climbed higher on Wednesday after data showed a much larger than expected drop in U.S. crude inventories last week, while a weaker dollar also lent support. West Texas Intermediate Crude oil futures for August ended up by $1.07 at $83.88 a barrel.