SINGAPORE, Nov. 10 (Xinhua) -- Singapore shares closed 0.44 percent higher on Monday, buoyed by U.S. employment data which pointed to solid economic growth, and hopes that China will introduce more policy stimulus measures following inflation data.
U.S. October non-farm payrolls rose a lesser-than-expected 214, 000, but the unemployment rate fell to 5.8 percent, the lowest in six years. The latest data reaffirmed that the U.S. economy is moderately recovering, and major shift in the Federal Reserve's policy outlook is unlikely.
Meanwhile, Chinese consumer prices rise at 1.6 percent year-on- year in October, in line with market expectations of no change from the preceding month. But producer prices fell 2.2 percent year-on-year, worse than the average market forecast of 2.1 percent.
Nomura Equity Research said China's subdued inflation indicates a soft start to fourth-quarter and leaves room for further policy easing. The Japanese research house now expects a 50 basis point cut to reserve requirement ratios in each quarter from now to fourth-quarter of 2015.
Voyage Research said "we expect the Straits Times Index to push through its 3,300 points resistance and setting an upside objective of 3,350 points. That said, the Asian markets will monitor the APEC summit in Beijing this week, where president Obama and president Xi Jinping will discuss about bilateral relations, as both economies push to improve their economic outlook."
But DBS Group Research said "we continue to expect a slowdown in Straits Times Index's strong rebound momentum in the near-term. Market trading activity is also unlikely to pick up with the approach of the year-end holiday lull period typically from mid- November till mid-December."
Singapore's benchmark Straits Times Index rose 14.61 points to 3,301 points. Trading volume was 1.39 billion shares worth 1.03 billion Singapore dollars. Both advancers and decliners are 214 each, while 507 stocks did not move.
Vallianz Holdings Limited shed 2 percent to 9.7 Singapore cents. It will buy 49 percent stake in PT Swiber Berjaya, an Indonesian offshore support vessel chartering company, for 17.5 million U.S. dollars from Swiber Holdings Limited. The Consideration for acquisition is to be satisfied by a combination of perpetual securities and new ordinary shares in the capital of Vallianz.
Chip Eng Seng Corporation Limited rose 2.3 percent to 90.5 Singapore cents. It reported robust third-quarter revenue of 415.7 million Singapore dollars and after-tax profits of 72.9 million Singapore dollars, buoyed by its construction and property development segments.
The company's external construction order book remains strong at 452.5 million Singapore dollars as of September 30, and it recently won an additional 232.8 million Singapore dollar public housing contract, bringing the total to 685.3 million Singapore dollars.
Among top gainers, DBS Group Holdings rose 1.6 percent to 19.65 Singapore dollars, while Jardine Matheson became one of the top losers by falling 0.3 percent to 58.50 U.S. dollars. (1 U.S. dollar equals to 1.29 Singapore dollars)
|
