STI up 0.3%, amid mixed showing by Singapore shares

[SINGAPORE] Singapore shares had a mixed showing on Tuesday (Dec 2). The benchmark index for blue-chip stocks closed higher, but that for the next 50 largest companies was lower.

The Straits Times Index (STI) rose 11.74 points or nearly 0.3 per cent to 4,537.96 points, whereas the iEdge Singapore Next 50 Index slid 7.47 points or more than 0.5 per cent to 1,441.16 points.

There were 288 gainers and 236 decliners across the broader market, with 1.3 billion securities valued at almost S$1.3 billion in total transacted.

Agribusiness group Wilmar International ended S$0.05 or 1.5 per cent lower at S$3.20, making it the worst STI performer. The group announced on Monday that it had reconstituted its risk management committee and board sustainability committee to provide more robust and objective oversight of risk-related matters.

Aletheia Capital recently lowered its rating on the STI constituent from “buy” to “sell” on the belief that its recent legal woes obscure its “earnings recovery narrative” and reduce its balance-sheet flexibility.

Raffles Education dropped S$0.005 or 4.3 per cent to S$0.112, a day after the education services provider announced that it had entered into an agreement to sell its corporate building for S$121.8 million, 78 per cent more than the property’s book value as at end-June.

The most active counter was Hoe Leong , after the mainboard-listed manufacturer and supplier of undercarriage components for heavy equipment saw about 136.5 million shares transact. It closed unchanged at S$0.001.

Private banking and asset management group LGT noted that increased expectations for a rate cut by the US Federal Reserve next week fuelled the better showing in some Asian indexes.

The FTSE Bursa Malaysia KLCI and Jakarta Composite Index were some of the indexes that rose, by 0.4 per cent and 0.8 per cent, respectively.