Singapore shares opened marginally higher on Tuesday, tracking Wall Street’s strong overnight performance after easing Middle East tensions and lower oil prices boosted investor sentiment.
The Straits Times Index (STI) rose 1.77 points, or 0.03%, to 5,079.06 as at 9.06am, with 100 stocks advancing against 89 decliners. Trading volume stood at 94.59 million shares valued at S$150.6 million.
The cautious start came after US stocks extended their rally overnight, with the Dow Jones Industrial Average closing at a record high and the Nasdaq posting its biggest daily gain since late March. Investor sentiment improved following a preliminary agreement between the United States and Iran, which sent oil prices sharply lower and eased inflation concerns.
Among Singapore’s heavily weighted stocks, DBS slipped 0.44% to S$63.21, while Singtel traded at S$4.25, Singapore Airlines at S$7.19 and OCBC Bank at S$23.78. Yangzijiang Shipbuilding changed hands at S$3.66, while Singapore Exchange was at S$23.42.
In the derivatives market, total volume stood at 13,050 contracts. INR/USD June futures were among the most actively traded contracts with 667 lots, while USD/SGD July futures were quoted at 1.2798.
Elsewhere, MSCI Singapore Index Futures for June were at 463.30, while Nikkei 225 September futures stood at 69,390.
Investors are now turning their attention to the US Federal Reserve’s policy decision due on Wednesday, with markets widely expecting interest rates to remain unchanged. Lower oil prices following the US-Iran peace framework have also improved expectations that inflationary pressures could ease further, supporting risk appetite across global markets.
