Singapore Shares May Extend Losing Streak

(RTTNews) - The Singapore stock market has finished lower in two straight sessions, sliding more than 20 points or 0.6 percent along the way. The Straits Times Index now sits just above the 3,185-point plateau and it's tipped to open in the red again on Thursday.

The global forecast for the Asian markets is negative on pessimism over the outlook for interest rates. The European and U.S. markets were down and the Asian bourses are expected to open in similar fashion.

The STI finished modestly lower on Wednesday following losses from the financial shares and trusts, while the properties and industrials were mixed.

For the day, the index lost 18.39 points or 0.57 percent to finish at 3,185.38 after trading between 3,182.97 and 3,203.85.

Among the actives, Ascendas REIT lost 0.73 percent, while CapitaLand Integrated Commercial Trust slumped 1.03 percent, CapitaLand Investment dropped 0.90 percent, City Developments jumped 1.62 percent, Comfort DelGro climbed 0.85 percent, DBS Group fell 0.67 percent, Emperador plunged 1.94 percent, Genting Singapore dipped 0.53 percent, Hongkong Land shed 0.77 percent, Keppel Corp was down 0.30 percent, Mapletree Pan Asia Commercial Trust slid 0.61 percent, Mapletree Industrial Trust sank 0.89 percent, Mapletree Logistics Trust advanced 0.61 percent, Oversea-Chinese Banking Corporation skidded 0.97 percent, SATS added 0.39 percent, Seatrium Limited spiked 1.61 percent, SembCorp Industries slipped 0.35 percent, Singapore Technologies Engineering retreated 1.36 percent, SingTel declined 1.17 percent, Thai Beverage tumbled 1.72 percent, Wilmar International eased 0.27 percent, Yangzijiang Shipbuilding rallied 2.08 percent and Yangzijiang Financial was unchanged.

The lead from Wall Street is weak as the major averages opened lower on Wednesday and largely spent the day in the red, ending near session lows.

The Dow dropped 129.83 points or 0.38 percent to finish at 34,288.64, while the NASDAQ sank 25.12 points or 0.18 percent to close at 13,791.65 and the S&P 500 fell 8.77 points or 0.20 percent to end at 4,446.82.

The selling pressure came ahead of, and in response to, the latest batch of FOMC minutes which suggested a more hawkish tone for the outlook on interest rates than had been hoped.

The minutes also showed the members disagreed on rate hikes. After the June meeting, all but two of the 18 participants expected that at least one hike would be appropriate this year, and 12 expected two or more hikes.

In economic news, the Commerce Department released a report showing new orders for U.S. manufactured goods increased by much less than expected in May.

Crude oil futures settled sharply higher on Wednesday, buoyed by government data showing a significant jump in U.S. crude shipments last week. West Texas Intermediate Crude oil futures for August ended higher by $2.00 or 2.9 percent at $71.79 a barrel.