Daily Markets Briefing: STI up 0.5%

Recovery on Wall Street likely to boost index today.

OCBC Investment Research said:

The recovery on Wall Street overnight is likely to provide some inspiration to the local bourse this morning.

And with the STI showing signs of conquering the 3,330 key obstacle yesterday with another 0.5% gain, we could continue to see a more positive display by the index today.

For now, we have shifted the immediate key obstacle to the 3,400 psychological level, with the subsequent hurdle marked at the 3,485 key peak.

On the downside, 3,330 is now the immediate resistance-turned-support, followed by the next base at the 3,265 recent trough.

Meanwhile, IG Markets Singapore said:

 In Asia, Hong Kong and Singapore closed up higher +0.9% to 22401 and +0.4% to 3337 respectively but Shanghai bucked the trend closing in the red at -0.86% to 2199. We are calling the open for both HSI and STI higher than their overnight close.