After a brief respite from a four-day downward streak, Singapore's stock market experienced another slump on Friday. During the prior downward run, the market lost more than 85 points, translating to a 2.7 percent decrease. Despite this, the Straits Times Index managed to stay just above the 3,135-point threshold. However, market projections for Monday suggest a likely upswing.
Global predictions for Asian markets are notably positive, underpinned by robust technology and oil sectors. Considering the preceding uptick in European and U.S. markets, Asian markets are expected to follow suit.
On Friday, the Straits Times Index exhibited some instability due to lackluster performance in the trusts and properties sectors and mixed results in the financial and industrial sectors. The index edged down by 6.09 points or 0.19 percent.
The overall market was marked by dynamic trade activities. Ascendas REIT, CapitaLand Integrated Commercial Trust, and CapitaLand Investment saw value reduction, while companies like City Developments, Comfort DelGro and DBS Group experienced slight growth. The stocks like Hongkong Land, Keppel Ltd, and Yangzijiang Financial witnessed unfavorable movement, whereas SembCorp Industries, Singapore Technologies Engineering, and SingTel witnessed a minor reduction in their respective shares. However, some companies like Yangzijiang Shipbuilding and Seatrium Limited experienced growth, and there was no change in the values for Thai Beverage, Frasers Logistics, and Venture Corporation.
Looking at the U.S. market, both NASDAQ and S&P reached record highs on Friday, while the Dow increased by a modest 0.23 percent. During the week, NASDAQ went up by 1.7 percent, and the S&P 500 increased 1.0 percent, despite the Dow dipping 0.1 percent.
The technology sector demonstrated a marked increase, with computer hardware stocks, particularly Dell, performing exceptionally well. In terms of economic indicators, U.S. manufacturing activity was reported to have contracted unexpectedly in February, while consumer sentiment also took a surprising hit.
This economic softness has added fuel to the optimism surrounding potential interest rate cuts by the Federal Reserve. Additionally, oil prices reached a four-month peak on Friday, driven by reports of a surge in oil demand to a four-year high in 2023, projected to remain steady this year. The West Texas Intermediate Crude oil futures for April saw a 2.2 percent spike, achieving the highest closing since November 2023.
