Singapore market trends Monday: Shares may walk back recent losses

Singapore street scene in Tanjong Pagar neighborhood; taken 31 August 2018.Singapore’s Tanjong Pagar neighborhood.

Singapore shares may walk back some recent losses in early trade on Monday as early Asian markets start the week on a positive note.

“We continue to see the trend in shares remaining up as global growth remains solid helping drive good earnings growth and monetary policy remains easy,” Shane Oliver, head of investment strategy and chief economist at AMP Capital, said in a note over the weekend.

“However, the risk of a further short-term pull back is high given the threats around trade, emerging market contagion, ongoing Fed rate hikes and rising bond yields, the Mueller inquiry, the U.S. mid-term elections and Italian budget negotiations,” he added.

The gains may come despite fresh domestic terrorism in the U.S.

Hard on the heels of at least 14 bombs mailed by a White supremacist to people U.S. President Trump has identified as various stripes of his personal enemies, an anti-semitic man opened fire on a synagogue in Pittsburgh in the deadliest attack on Jews in U.S. history. That attacker also parroted rhetoric from Trump.

Indexes

Japan’s Nikkei 225 index was up 1.02 percent at 8:08 A.M. SGT on Monday, while South Korea’s Kospi was up 0.17 percent at 8:13 A.M. SGT.

Singapore’s Straits Times Index ended Friday down 1.36 percent at 2972.02; October futures for the index were at 2972 on Friday, while November and December futures were at 2975 and 2972 respectively.

Hong Kong’s Hang Seng Index was down 1.11 percent at 24,717.631, while China’s CSI 300 shed 0.65 percent to 3173.635.

Malaysia’s KLCI ended Friday down 0.21 percent at 1683.06, while Indonesia’s IDX Composite gained 0.52 percent to 5784.92.

The Dow Jones Industrial Average was off 1.19 percent at 24,688.31, the Nasdaq Composite lost 2.07 percent to 7167.212 and the S&P 500 shed 1.73 percent to 2658.69. Futures for the three indexes were nose in the green in early trade.

Currencies

The U.S. dollar index was at 96.44 at 8:11 A.M. SGT after spiking as high as 96.85 on Friday, according to ICE Futures data.

The 10-year U.S. Treasury note yield was at 3.086 percent at 8:22 A.M. SGT after trading as high as 3.109 percent on Friday, according to Tullett Prebon data.

The euro/dollar was at 1.1396 at 8:23 A.M. SGT after trading in a 1.1334 to 1.1421 range on Friday, according to DZHI data.

The dollar/yen was at 111.977 at 8:24 A.M. SGT after trading in a 111.35 to 112.444 range on Friday, according to DZHI data.

The dollar/yuan ended Friday at 6.9424 after trading in a 6.9340 to 6.9641 range on Friday, according to DZHI data.

The dollar/Malaysian ringgit was at 4.17 at 8:08 A.M. after trading in a 4.1680 to 4.1760 range on Friday, according to DZHI data.

The dollar/Singapore dollar was at 1.3802 at 8:25 A.M. after trading in a 1.3791 to 1.3848 range on Friday, according to DZHI data.

The dollar/Indonesian rupiah ended Friday at 15,215 after trading in a 15,184 to 15,216 range on Friday, according to DZHI data.

Oil

Nymex WTI crude oil futures for December were up 0.22 percent at US$67.74 a barrel at 8:02 A.M. SGT, while ICE Brent crude oil furutes for December were up 0.17 percent at US$77.75 a barrel at 8:01 A.M. SGT, according to Bloomberg data.

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