Singapore stocks gain more ground on Friday; STI up 1.5%

Singapore stocks ended higher on Friday (Dec 12), following regional indices.

The benchmark Straits Times Index (STI) gained 1.5 per cent or 65.62 points to finish at 4,586.45. Meanwhile, the iEdge Singapore Next 50 Index edged up 0.53 points to 1,434.64.

Across the broader market, gainers beat losers 360 to 200, after 1.3 billion securities worth S$1.7 billion changed hands.

Key regional indices were positive. Hong Kong’s Hang Seng Index rose 1.8 per cent, Japan’s Nikkei 225 index advanced 1.4 per cent, South Korea’s Kospi was up 1.4 per cent, and the FTSE Bursa Malaysia KLCI increased 0.8 per cent.

Jardine Matheson led the gainers on Singapore’s blue-chip index, rising 4.9 per cent or US$3.29 to US$69.94.

The worst performer among the STI constituents was Genting Singapore, which fell 0.7 per cent or S$0.005 to S$0.72.

The three local banks ended higher. DBS gained 1.2 per cent or S$0.65 to S$55.04, OCBC rose 1.3 per cent or S$0.25 to S$19.20, and UOB was up 1.3 per cent or S$0.44 at S$34.72.

The top performer on the iEdge Singapore Next 50 Index was Hong Leong Asia, up 3.8 per cent or S$0.08 at S$2.19. The biggest loser on the index was Keppel Reit, down 6.8 per cent or S$0.07 at S$0.96.

Tech has faced a battering, following Oracle’s quarterly report where cloud sales missed expectations while capital expenditure intentions increased, noted Jose Torres, senior economist at Interactive Brokers.

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Softer-than-expected revenues and commitments of more dollars to artificial intelligence infrastructure have investors questioning the prospect of returns as the Magnificent Seven’s shares retreat, he added.

“The cyclically oriented, rate-sensitive areas of the equity market are thriving, with the Dow Jones Industrial Average reaching a fresh record and the Russell 2000 touching an all-time high for the third consecutive session,” said Torres.

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