Singapore Stock Market Tipped To Open In The Green

The Singapore stock market on Thursday ended the three-day losing streak in which it had slumped almost 40 points or 0.8 percent. The Straits Times Index now sits just shy of the 4,830-point plateau and it’s likely to open to the upside again on Friday.

The global forecast for the Asian markets is positive on easing geopolitical tensions regarding Greenland. The European and U.S. markets were up and the Asian bourses are expected to follow that lead.

The STI finished modestly higher on Thursday following gains from the financials and trusts, weakness from the industrials and a mixed picture from the properties.

For the day, the index gained 18.44 points or 0.38 percent to finish at 4,828.32 after trading between 4,821.50 and 4,844.50.

Among the actives, CapitaLand Integrated Commercial Trust slumped 0.84 percent, while CapitaLand Investment spiked 2.04 percent, City Developments surged 2.65 percent, DBS Group eased 0.10 percent, DFI Retail Group and Hongkong Land both sank 0.49 percent, Genting Singapore expanded 0.69 percent, Keppel DC REIT lost 0.45 percent, Keppel Ltd rallied 1.49 percent. Mapletree Pan Asia Commercial Trust strengthened 1.37 percent, Mapletree Industrial Trust added 0.48 percent, Mapletree Logistics Trust advanced 0.74 percent, Oversea-Chinese Banking Corporation collected 0.73 percent, SATS vaulted 1.31 percent, Seatrium Limited shed 0.47 percent, SembCorp Industries fell 0.33 percent, Singapore Airlines rose 0.31 percent, Singapore Exchange and Venture Corporation both eased 0.06 percent, Singapore Technologies Engineering tumbled 1.99 percent, SingTel dropped 0.67 percent, Thai Beverage climbed 1.06 percent, United Overseas Bank soared 2.31 percent, UOL Group jumped 1.56 percent, Wilmar International accelerated 1.57 percent, Yangzijiang Shipbuilding stumbled 2.03 percent and CapitaLand Ascendas REIT was unchanged.

The lead from Wall Street is firm as the major averages opened higher on Thursday and spent the entire session in the green.

The Dow jumped 306.78 points or 0.63 percent to finish at 49,384.01, while the NASDAQ climbed 211.20 points or 0.91 percent to end at 23,436.02 and the S&P 500 added 37.73 points or 0.55 percent to close at 6,913.35.

The extended rebound on Wall Street came as stocks continued to benefit from easing tensions after President Donald Trump ruled out the use of military force to acquire Greenland.

Some analysts see the strength on Wall Street as a return of the “TACO trade,” meaning “Trump Always Chickens Out,” as the president is often seen as backing down after scaring the markets with threats of new tariffs.

In economic news, the Labor Department noted a slight uptick in first-time claims for U.S. unemployment benefits last week. Also, the Commerce Department said consumer prices increased in line with estimates in November.

Crude oil prices plunged on Thursday as investors assessed data on U.S. crude oil inventories, which shot up much more than expected last week. West Texas Intermediate crude for March delivery was down $1.29 or 2.13 percent at $59.33 per barrel.

Closer to home, Singapore will provide December data for consumer prices later today; in November, overall inflation was up 0.3 percent on month and 1.2 percent on year, while core CPI also rose an annual 1.2 percent.