Singapore's stock index rises 0.6% to hit a record high of 4,216.57 points

Singapore's stock index rises 0.6% to hit a record high of 4,216.57 points

Singapore's stock market has seen a significant gain, with the Straits Times Index (STI) rising 0.6% to reach a record high of 4,216.57 points, according to recent market data [2]. This upward trend follows a period of steady growth, with the index improving by more than 170 points or 4.3% over the past 10 consecutive sessions [2].

The STI's performance has been buoyed by gains from various sectors, including financial shares and industrial issues, while the property sector showed mixed results. Key performers on Friday included CapitaLand Integrated Commercial Trust, which gained 0.46%, and Oversea-Chinese Banking Corporation, which spiked 1.46% [2]. Meanwhile, CapitaLand Ascendas REIT slumped 0.72%, and Genting Singapore sank 0.68% [2].

The global market sentiment remains directionless, with oil and biotechnology stocks under pressure. The European and U.S. markets were mixed and flat, with the Asian bourses expected to follow suit [2]. The lead from Wall Street was soft, with the major averages opening slightly higher but quickly turning lower before ending mixed and little changed [2].

The recent performance of the STI contrasts with the underwhelming debut of NTT DC REIT, which raised $773 million but saw its shares underperform since their debut [1]. Despite this, analysts remain hopeful about Singapore's policy reforms aimed at revitalizing its stock market, suggesting that the recent listing of NTT DC REIT could signal a resurgence in IPO activity [1].

The rising STI is a positive indicator for Singapore's equity landscape, though the market still faces challenges. The Straits Times Index has only increased by 9% this year, trailing behind Hong Kong's Hang Seng Index, which has surged by nearly 25% [1]. The global data center investments, led by Asia-Pacific, are expected to surpass $286 billion by 2027, underscoring the region's pivotal role in supporting AI-optimized infrastructure and digital initiatives [1].

In conclusion, while the STI's record high is a notable achievement, the market's performance remains mixed. The recent gains are a positive sign, but the market's trajectory will depend on future policy reforms and the performance of key sectors.

References:

[1] https://www.indexbox.io/blog/ntt-dc-reits-ipo-a-disappointing-debut-in-singapores-stock-market/

[2] https://www.nasdaq.com/articles/singapore-shares-overdue-consolidation-0