Singapore stocks traded lower on Thursday morning—STI dropped 0.9%

SINGAPORE: Singapore stocks traded lower on Thursday morning, following losses in Asian markets after the US Federal Reserve signalled fewer interest rate cuts for 2025. The Straits Times Index (STI) dropped 0.9%, or 34.69 points, to 3,744.93 at 9:01 am, as reported by The Business Times.

In the broader market, 140 stocks declined while 24 gained, with 74.4 million securities valued at S$94.4 million traded.

Singapore Post led in trading volume, falling 1.8%, or S$0.01, to S$0.555 with 4.5 million shares exchanged. Genting Singapore also saw high activity, with 3.1 million shares traded, though its price remained steady at S$0.76.

Local banks traded lower as trading began. DBS declined 0.6%, or S$0.27, to S$43.10. OCBC dropped 1.1%, or S$0.18, to S$16.65. UOB fell 1.8%, or S$0.64, to S$35.81.

Asian markets also faced losses. Japan’s Nikkei 225 retreated 1% to 38,703.34, while Australia’s ASX 200 fell 1.8% to 8,157.5 points.

US stocks fell sharply on Wednesday after the Federal Reserve cut interest rates but reduced its forecast for rate cuts in 2025. All three major indices closed lower after the Fed said there would be only two rate cuts next year instead of four.

The Dow Jones Industrial Average fell 2.6%, shedding more than 1,100 points to 42,326.87. The S&P 500 lost 3% to 5,872.16, while the Nasdaq Composite Index dropped 3.6% to 19,392.69.

In Europe, markets fared better, ending the day higher, driven by gains in technology stocks and French automaker Renault. The pan-European Stoxx 600 rose 0.2% to 514.43 points, ending a four-day losing streak with technology stocks up 1.1%. /TISG

Read also: Singapore stocks traded lower on Wednesday morning—STI fell 0.2%

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