FX.co ★ Additional Support Anticipated For Singapore Shares

The Singapore stock market bounced back on Monday, recovering from its brief respite after a five-day winning streak during which it gained over 40 points, or 1.3%. The Straits Times Index (STI) is now just below the 3,340-point mark and could potentially see further gains on Tuesday. The global forecast for Asian markets indicates minimal movement ahead of key U.S. employment data expected later this week. Both European and U.S. markets finished slightly higher, suggesting that Asian markets might follow this trend.

On Monday, the STI saw modest gains, buoyed by financial and property stocks, although industrials were mixed. The index rose by 5.77 points or 0.17% to close at 3,338.57, operating between 3,325.17 and 3,341.59 throughout the session. Specific stocks had varying performances: CapitaLand Integrated Commercial Trust fell by 1.01%, CapitaLand Investment decreased by 0.38%, City Developments surged by 1.74%, and Comfort DelGro improved by 0.75%. Meanwhile, DBS Group increased by 0.92%, Emperador dropped 1.15%, and Genting Singapore declined by 2.31%. Other notable movements included Hongkong Land up by 0.31%, Keppel DC REIT up by 0.56%, Keppel Ltd down by 0.46%, Mapletree Pan Asia Commercial Trust up by 1.64%, and Mapletree Logistics Trust up by 0.78%.

Additional stock movements included: Oversea-Chinese Banking Corporation up by 0.49%, SATS up by 0.35%, Seatrium Limited surging by 4.35%, SembCorp Industries rallying by 1.04%, Singapore Technologies Engineering down by 0.92%, SingTel up by 0.36%, Thai Beverage down by 1.11%, Wilmar International down by 0.32%, Yangzijiang Financial down by 1.43%, and Yangzijiang Shipbuilding down by 2.44%. Mapletree Industrial Trust remained unchanged.

The outlook from Wall Street appears cautiously optimistic as markets opened slightly higher on Monday, staying close to the flatline for most of the day before closing firmly in the green. The Dow Jones Industrial Average added 50.66 points or 0.13% to close at 39,169.52, the Nasdaq Composite rallied with 146.70 points or 0.83% to end at 17,879.30, and the S&P 500 gained 14.61 points or 0.27% to finish at 5,475.09.

The subdued performance on Wall Street reflects traders anticipating the Labor Department’s closely watched monthly jobs report, expected for release on Friday. The report is anticipated to show a slowdown in job growth for June, which could influence future interest rate decisions. Traders are also likely awaiting remarks from Federal Reserve Chair Jerome Powell scheduled for Tuesday, as well as the upcoming Independence Day holiday on Thursday.

In U.S. economic news, the Institute for Supply Management reported that manufacturing activity unexpectedly contracted at a slightly faster rate in June. Additionally, the Commerce Department recorded a slight dip in U.S. construction spending for May.

Oil prices saw a sharp increase on Monday due to expectations of higher demand, supply concerns, and production cuts by OPEC. West Texas Intermediate Crude oil futures rose by $1.84, approximately 2.2%, closing at $83.38 per barrel.