Renewed Consolidation Expected For Singapore Stock Market

(RTTNews) - The Singapore stock market bounced higher again on Wednesday, one day after ending the two-day winning streak in which it had collected almost 40 points or 0.7 percent. The Straits Times Index now sits just above the 5,710-point plateau although it's expected to hand back those gains on Thursday.

The global forecast for the Asian markets is weak on renewed conflicts in the Middle East, surging crude oil prices and concerns over the outlook for interest rates. The European markets were mixed and the U.S. bourses were sharply lower 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 rallied 97.08 points or 1.73 percent to finish at the daily high of 5,713.19 after trading as low as 5,611.59.

For the day, the index plummeted 360.42 points or 5.98 percent to finish at 5,663.24 after trading between 5,262.77 and 6,228.52. Volume was 449.29 million shares worth 47.83 trillion won. There were 804 decliners and 91 gainers.

The lead from Wall Street is sharply negative as the major averages opened lower on Wednesday and turned more deeply into the red as the day progressed, ending at session lows.

The late-day sell-off on Wall Street came as treasury yields surged in electronic trading on concerns about the outlook for interest rates even after the Federal Reserve left rates unchanged, although three members voted to increase rates.

Stocks came under pressure early in the day amid a substantial rebound by crude oil prices - which skyrocketed on Wednesday after Iran launched surprise attacks on U.S. bases in Jordan. West Texas Intermediate crude for September delivery was up $5.55 or 7.00 percent at $84.81 per barrel.