The Singapore stock market has experienced considerable growth in its last two sessions, amassing an approximate 85-point or 2.8 percent increase. Currently, the Straits Times Index (STI) is slightly beyond the 3,220-point mark. However, investors might plausibly start taking profits this coming Monday.
Regarding the global perspective, it seems that the financial markets in Asia are treading on uncertain ground due to skepticism regarding the future of interest rates. European markets have risen, but U.S. bourses have experienced a downturn. Consequently, Asian markets are expected to fall somewhere in the middle.
The STI ended last Friday on a significant high note, driven by successful financial shares, property stocks, and industrial matters. Particularly, the index saw a surge of 45.25 points or 1.42 percent, closing at 3,221.94 after fluctuating between 3,181.36 and 3,229.13.
In terms of activity, Ascendas REIT saw a 1.09 percent gain, while CapitaLand Commercial Trust rose 2.08 percent, and Comfort DelGro recorded a 4.44 percent surge. DBS Group and Hongkong Land both jumped 1.62 percent and 1.89 percent respectively. Mapletree Logistics Trust increased by 1.31 percent, and Singapore Technologies Engineering recorded a 0.77 percent surge. However, Keppel Ltd fell 0.41 percent. Meanwhile, Emperador and Genting Singapore remained constant.
The impact from Wall Street has been negative, with all major averages ending last Friday in negative terrain. The Dow fell 145.11 points or 0.37 percent, concluding at 38,627.99. The NASDAQ fell 130.55 points or 0.82 percent, closing at 15,775.65, while the S&P 500 lost 24.16 points or 0.48 percent, concluding at 5,005.57.
This downturn in Wall Street was primarily due to renewed concerns about interest rates' future, following a reported more significant than expected rise in January's U.S. producer prices. Coupled with last week's hotter-than-expected consumer price inflation figures, these points to potential delays in the Federal Reserve cutting interest rates, which has investors worried.
Nonetheless, some of the negative sentiment was partially offset by a report from the University of Michigan that indicated an increase in consumer sentiment in February.
Furthermore, oil prices rose last Friday, pushing the most active WTI Crude futures to an 11-week high due to worries about possible supply disruptions in the Middle East. West Texas Intermediate Crude oil futures for March ended higher at $1.16, landing at $79.19 a barrel.
