Singapore Shares Overdue For Consolidation

(RTTNews) - The Singapore stock market has finished higher in nine straight sessions, gathering more than 390 points or 7.7 percent along the way. Now at a fresh record closing high, the Straits Times Index sits just beneath the 5,560-point plateau although investors may lock in gains on Thursday.

The global forecast for the Asian markets is cautiously optimistic on an improved outlook for interest rates. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to split the difference.

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

For the day, the index climbed 64.11 points or 1.20 percent to finish at 5,559.72 after trading between 5,501.43 and 5,561.42.

The lead from Wall Street ends up positive as the major averages opened higher, slumped midday but rebounded to finish in the green.

The Dow climbed 150.37 points or 0.29 percent to finish at 52,658.64, while the NASDAQ improved 162.22 points or 0.62 percent to close at 26,269.23 and the S&P 500 added 28.81 points or 0.38 percent to end at 7,572.40.

The early strength on Wall Street came after the Labor Department said producer prices fell more than expected last month, easing concerns about the outlook for inflation and interest rates.

Buying interest remained somewhat subdued, however, as traders kept an eye on the escalating conflict between the U.S. and Iran.

Crude oil prices ticked lower on Wednesday after U.S. Energy Information Administration data on crude oil inventories indicated weaker-than-expected demand. West Texas Intermediate crude for August delivery was down $0.09 or 0.11 percent at $79.25 per barrel.