Singapore equities ended the week slightly lower as geopolitical uncertainties and profit-taking offset gains from a late-week rally, with the benchmark Straits Times Index (STI) closing at 5,037.86 points on May 29. The index slipped about 0.6% over the five-day trading period, retreating from its close of 5,070.55 on May 25 despite a strong rebound on the final trading day.
Investor sentiment remained cautious throughout the week amid developments in the Middle East, particularly fluctuating expectations surrounding a potential US-Iran ceasefire. Concerns over renewed military tensions weighed on regional markets and triggered risk-off trading on May 28, when the STI fell 0.8% to a weekly low of 4,989.19.
However, Singapore stocks staged a strong recovery on May 29, with the STI rising 1% as optimism over a possible de-escalation in geopolitical tensions improved risk appetite. Market breadth was positive, with gainers outnumbering losers 390 to 204, while trading activity remained healthy at S$4.5 billion.
Among blue-chip counters, Wilmar International emerged as one of the week’s standout performers after surging 5.9% on May 29, while Seatrium was among the laggards. Earlier in the week, City Developments also posted notable gains, reflecting selective buying interest in property and consumer-related stocks.
Looking ahead, investors are expected to monitor geopolitical developments, global interest rate expectations and upcoming economic data releases for fresh market direction. While the STI remains near record levels above the 5,000-point mark, analysts expect volatility to persist as investors balance growth prospects against external risks.
