Singapore shares continue to rally; STI up 1.1%

Singapore shares closed higher on Tuesday (Oct 7), buoyed by local bank DBS’ continued rally.

The benchmark Straits Times Index (STI) rose 1.1 per cent or 50.55 points to end at 4,472.26.

The STI’s top gainer was Yangzijiang Shipbuilding, which rose 4.1 per cent or S$0.14 to S$3.52. It was also the most actively traded counter on the blue-chip index by volume, with 33.2 million units worth S$115.1 million transacted.

DBS was the second-highest advancer on the STI, adding 3 per cent or S$1.60 to close at a new high of S$54.80. The other local banks also ended the day higher. UOB climbed 0.3 per cent or S$0.10 to S$35.49, and OCBC was up 0.4 per cent or S$0.07 at S$16.91.

The biggest decliner on the STI was Mapletree Logistics Trust. The counter fell 0.8 per cent or S$0.01 to S$1.28.

Across the broader market, advancers outnumbered decliners 275 to 162, after 1.2 billion securities worth S$1.6 billion changed hands.

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Across the region, key indices were mixed.

Japan’s Nikkei 225 inched up 0.01 per cent, after hitting a new peak during trade hours.

Stephen Innes, managing partner at SPI Asset Management, noted that the Nikkei’s fresh records indicate the market is pricing in the start of a pro-stimulus premiership under Sanae Takaichi, the newly appointed leader of the ruling Liberal Democratic Party.

He added that investors may be willing to “tolerate” higher yields on Japanese government bonds “so long as Tokyo’s fiscal circus delivers the growth it promises”.

Meanwhile, Malaysia’s KLCI declined 0.5 per cent and Australia’s ASX 200 lost 0.3 per cent. Hong Kong’s Hang Seng and South Korea’s Kospi were closed for holidays.