On June 10, 2024, Singapore shares closed lower, with the Straits Times Index (STI) declining by 0.3%, or 8.69 points, to settle at 3,322.08. This dip was influenced by stronger-than-expected U.S. jobs figures released last Friday, which raised concerns regarding the Federal Reserve’s interest rate policy. Across the broader market, decliners outnumbered advancers with 239 stocks losing ground compared to 158 gaining, with 822 million securities changing hands, valued at S$940.5 million.

Regional Market Performance:
Regional markets exhibited mixed results, with Japan’s Nikkei 225 gaining 0.9%, while South Korea’s Kospi fell by 0.8%, and Malaysia’s Kuala Lumpur Composite Index dropped by 0.2%.

Market Outlook:
Thilan Wickramasinghe, head of research at Maybank Singapore, noted that despite the setback from U.S. employment data, he remains optimistic about local markets. He has raised the year-end STI target to 3,583, emphasizing that the prospect of sustained high interest rates could favor Singapore’s defensive and low-gearing market characteristics. Wickramasinghe indicated that the first-quarter earnings season showed encouraging results, with nearly a third of coverage companies exceeding forecasts and fewer downgrades overall.

Top Performers and Losers:
Among the STI constituents, Yangzijiang Shipbuilding emerged as the top performer, gaining 2.9% or S$0.07 to reach S$2.48. In contrast, Hongkong Land saw the largest decline, dropping 3.2% or US$0.11 to US$3.31.

The trio of major banks displayed mixed results: DBS rose by 0.3% or S$0.11 to S$35.63, while UOB slipped 0.1% or S$0.03 to S$30.73, and OCBC decreased 0.3% or S$0.04 to S$14.23.