Singapore Bourse May Extend Wednesday's Gains

(RTTNews) - The Singapore stock market bounced higher again on Wednesday, one day after ending the two-day winning streak in which it had climbed more than 60 points or 1.2 percent. The Straits Times Index now rests just above the 4,925-point plateau and it's tipped to open in the green again on Thursday.

The global forecast for the Asian markets is positive on hopes for an end to hostilities in the Middle East. The European and U.S. markets were sharply higher and the Asian bourses are expected to follow that lead.

The STI finished slightly higher on Wednesday as gains from the financials and properties were offset by weakness from the trusts and plantations.

For the day, the index rose 6.77 points or 0.14 percent to finish at 4,927.38 after trading between 4,915.13 and 4,935.68.

Among the actives, CapitaLand Integrated Commercial Trust and Seatrium Limited both fell 0.42 percent, while CapitaLand Investment rose 0.38 percent, City Developments improved 0.86 percent, DBS Group increased 0.51 percent, DFI Retail Group declined 1.67 percent, Genting Singapore rallied 1.48 percent, Hongkong Land advanced 0.89 percent, Keppel DC REIT tumbled 2.54 percent, Keppel Ltd dipped 0.09 percent, Mapletree Pan Asia Commercial Trust eased 0.08 percent, Mapletree Industrial Trust sank 0.98 percent, Mapletree Logistics Trust slumped 1.63 percent, Oversea-Chinese Banking Corporation collected 0.78 percent, SATS climbed 0.91 percent, SembCorp Industries gathered 0.46 percent, Singapore Airlines added 0.48 percent, Singapore Exchange vaulted 1.04 percent, Singapore Technologies Engineering jumped 1.20 percent, SingTel retreated 1.92 percent, United Overseas Bank expanded 1.02 percent, UOL Group shed 0.58 percent, Venture Corporation skyrocketed 10.92 percent, Wilmar International lost 0.53 percent, Yangzijiang Shipbuilding gained 0.49 percent and CapitaLand Ascendas REIT, Thai Beverage and Frasers Centrepoint Trust were unchanged.

The lead from Wall Street is strong as the major averages opened higher on Wednesday and continued to pick up steam as the day progressed, ending at session highs.

The Dow spiked 612.34 points or 1.24 percent to finish at 49,910.59, while the NASDAQ rallied 512.82 points or 2.02 percent to end at 25,838.94 and the S&P 500 jumped 105.90 points or 1.46 percent to close at 7,365.12.

The rally on Wall Street came amid optimism about an end to the conflict in the Middle East after reports said the White House believes it's getting close to an agreement with Iran on a one-page memorandum of understanding.

Adding to the optimism about a peace deal, President Donald Trump said the U.S. would pause its efforts to escort ships through the Strait of Hormuz to see whether or not the agreement can be finalized and signed.

On the U.S. economic front, payroll processor ADP released a report showing private sector employment in the U.S. jumped more than expected in April.

Crude oil prices went into freefall after Trump indicated the U.S. and Iran may reach a deal soon. West Texas Intermediate crude for June delivery was down $7.83 or 7.66 percent at $94.44 per barrel.