The local market headed into the Easter break on a downbeat note on Thursday after a four-day winning streak came to a shuddering halt.
The trigger was likely the overnight falls in the Nasdaq and S&P 500 on Wall Street in the wake of more weak economic data that indicated slower hiring and a continued weakening in the United States economy.
This in turn has sparked worries over the impact of the Federal Reserve’s rate rise trajectory and reinforced expectations that Friday’s US non-farm jobs data will also disappoint.
The wash-up here was a slide in the key Straits Times Index. It fell 18.39 points, or 0.6 per cent, to 3,300.48, although it still ended the shortened week 1.3 per cent ahead.
Turnover was modest, with 1.2 billion units worth $865.5 million traded, while losers slipped ahead of gainers 282 to 266.
Most key regional gauges also fell, including in Japan, Taiwan, Malaysia, South Korea and Australia, although those in China and Hong Kong bucked the trend and posted marginal gains.
CGS-CIMB Research noted that the Singapore market remains a safe harbour, and forecast earnings growth of 15.8 per cent for this year and 4.3 per cent for 2024, supported by a projected 2023 dividend yield of 5.2 per cent – the highest level in the last decade.
We advocate investors to stay nimble, as market attention remains focused on US economic data and the Fed’s interest rate direction,” said the research house.
City Developments sank 1.09 per cent to $7.27. The developer was RHB Research’s top pick, after a recent visit by the research house to the Tembusu Grand show flat, which could generate healthy sales for the developer.
Frasers Centrepoint Trust retreated 0.4 per cent to $2.29. CGS-CIMB Research tweaked its numbers to factor in the trust’s acquisition of Nex and reiterated its “add” rating on the counter, with a target price of $2.62, citing the resilience of suburban malls. – The Business Times
