Singapore equities opened lower, tracking overnight weakness on Wall Street as renewed selling in technology stocks and escalating geopolitical concerns dampened investor sentiment.
The Straits Times Index (STI) slipped 25.17 points, or 0.5%, to 4,998.08 in early trade, with decliners outnumbering gainers 120 to 70. Trading volume stood at 90.26 million shares valued at S$154.94 million.
Among the index heavyweights, DBS fell 1.4% to S$62.86, while UOB eased to S$38.24 and OCBC traded at S$23.74. Singtel was marginally lower at S$4.28.
The cautious start came after Wall Street ended mixed overnight. The Nasdaq Composite dropped 0.97% as technology stocks resumed their decline, while the S&P 500 fell 0.26%. The Dow Jones Industrial Average managed to edge 0.17% higher.
Investor sentiment was affected by fresh uncertainty in the Middle East after US President Donald Trump said Iran had shot down a US Apache helicopter in the Strait of Hormuz and pledged a response, raising doubts over prospects for a lasting ceasefire in the region.
Markets are also awaiting the release of the US Consumer Price Index later tonight, with investors looking for clues on the Federal Reserve’s interest rate path. Stronger-than-expected US jobs data last week has increased expectations that the Fed could raise rates later this year.
Elsewhere in the region, SGX derivatives traded mixed in early dealings. FTSE China A50 Index Futures stood at 15,353, while Nikkei 225 Index Futures were at 64,650.
