Singapore Stock Market Due For Consolidation

(RTTNews) - The Singapore stock market had moved higher in three straight sessions, gathering almost 175 points or 3.1 percent along the way. The Straits Times Index now sits just above the 5,750-point plateau although investors may cash in on Wednesday.

The global forecast for the Asian markets is soft thanks to the ongoing conflict in the Middle East and the resulting spike in crude oil prices. The European markets were mixed and the U.S. bourses were down and the Asian markets figure to split the difference.

The STI finished sharply higher on Tuesday following gains from the financial shares, property stocks and industrial issues.

For the day, the index advanced 55.74 points or 0.98 percent to finish at 5,754.17 after trading between 5,667.05 and 5,774.21.

The lead from Wall Street is weak as the major averages opened mixed on Tuesday but trended downward throughout the day and all finished solidly under water.

The Dow dropped 184.13 points or 0.34 percent to finish at 53,791.85, while the NASDAQ slumped 159.91 points or 0.60 percent to close at 26,445.45 and the S&P 500 sank 24.91 points or 0.32 percent to end at 7,728.20.

The weakness that emerged on Wall Street came amid another notable increase by the price of crude oil after spiking more than 5 percent on Monday.

Crude oil prices surged on Tuesday, extending the gains from the two previous sessions as the U.S.-Iran stalemate continues, diminishing hopes for an early reopening of the Strait of Hormuz. West Texas Intermediate crude for September delivery was up $0.89 or 1.08 percent at $83.02 per barrel.

Traders were also looking ahead to the release of a closely watched report on consumer price inflation on Wednesday, which is likely to have an impact on the outlook for interest rates at next month's FOMC meeting.