Singapore stocks opened weaker as regional sentiment turned cautious following mixed overnight US performance, even as technology shares continued to draw selective buying interest.
As at 9:28am, the Straits Times Index (STI) fell 16.64 points or 0.33% to 4,987.32, with early turnover at 332.87 million shares valued at S$484.19 million. Market breadth was slightly negative with 144 gainers and 139 decliners, reflecting a broadly cautious tone.
The softer open came after Wall Street ended mixed, where the S&P 500 and Nasdaq climbed to fresh record highs driven by artificial intelligence-related stocks and chipmakers, even as inflation concerns and expectations of prolonged higher US interest rates lingered. The Dow Jones Industrial Average, however, slipped 0.14% to 49,693.20.
US sentiment was supported by strong gains in megacap technology names, with six of the Magnificent Seven rising between 1.4% and 3.9%, while Nvidia and Tesla also advanced. Analysts said resilience in tech helped offset concerns over hotter inflation data and reduced expectations for near-term Federal Reserve rate cuts.
Back in Singapore, early trading showed selective strength in individual counters. UMS rose 1.39% to 2.91, while DBS, UOB and Singtel traded largely mixed alongside Genting Singapore at 0.605 and ComfortDelGro at 1.37. AEM slipped in early trade.
Broader regional cues remained influenced by inflation risks after US producer price data recorded its biggest monthly increase in four years, reinforcing expectations that interest rates could stay elevated for longer. Investors also monitored developments from a high-profile US-China summit in Beijing, where trade and geopolitical tensions remain in focus.
