SINGAPORE, (PNA/Xinhua) — Singapore shares closed 0.2 percent higher, as investors counted the costs of a two-week U.S. government shutdown, and also sought clues to when the Federal Reserve would begin reducing its stimulus program.
U.S. Democrats and Republicans reached an 11th-hour agreement on Wednesday to break an impasse, pulling the world’s largest economy from the brink of an historic debt default as the deal funds the government until Jan.15 and raises the borrowing limit through to Feb.7.
In September, the Federal Reserve stunned markets by opting to delay trimming its 85 billion U.S. dollars a month bond purchases. Stimulus tapering expectations have now been pushed down to December.
Meanwhile, Chinese growth data for the third quarter pointed towards stabilization in the region’s largest economy. The headline gross domestic product data came out at 7.8 percent for the most recent quarter, accelerating from the 7.5 percent growth in the second quarter.
CIMB Research said “The Straits Times Index again failed at its 3,198 points and 3,220 points resistance band. For the past 4 days, the index closed below its open, which suggests that the sellers are in command.”
Singapore’s benchmark Straits Times Index rose 6.28 points to 3, 192.90. Trading volume was 1.71 billion shares worth 1.04 billion Singapore dollars. Advancers outnumbered decliners 209 to 189, while 561 stocks did not move.
Singapore Exchange rose 1.6 percent to 7.41 Singapore dollars. The bourse operator reported first-quarter net profit of 92.3 million Singapore dollars, up 24 percent from a year earlier. With growth across all businesses, revenue was up 15 percent to 184.1 million Singapore dollars.
Cordlife Group Limited inched up 0.4 percent to 1.215 Singapore dollars. It announced today that it has signed a non-binding Memorandum of Understanding with Golden Meditech Holdings Limited in respect of a proposed joint venture in the Shanghai Free Trade Pilot Zone. Golden Meditechis a leading integrated-healthcare enterprise in China that has established dominant positions in healthcare services and medical devices segments
Sysma Holdings soared 20 percent to 42 Singapore cents. It proposes to place 19.5 million new shares at the price of 31.2 Singapore cents per share. The issue price represents a discount of 9.9 percent to the last volume weighted average price. Gross proceeds of approximately 6.08 million will be utilized to fund the Group’s business expansion and for general working capital purposes.
Among top gainers, Jardine Cycle and Carriage rose 0.6 percent to 36.81 Singapore dollars, while Jardine Matheson became one of the top losers by falling 1.4 percent to 34.13 U.S. dollars. (1 U. S. dollar equals to 1.24 Singapore dollars)