Daily Markets Briefing: STI down 0.4%

Index likely to consolidate around current levels.

IG Markets Singapore said:

In Singapore, the STI suffered from a lower-than-expected rise in ADP private sector jobs and slid 0.4% yesterday. We expect Singapore to trade off the Nikkei rally as Hong Kong and Taiwan is on holiday.

OCBC Investment Research noted:

As a recap, the STI pull backed about 0.4% yesterday as investors remain hesitant about pushing the index beyond the 3320-3330 resistance zone.

And with today’s tone likely to turn fairly neutral ahead of the weekend break, we could see the index consolidating around current levels with the immediate support pegged at the 3300 minor trough.

Below that, the next support is pegged at the 3280 minor resistance-turned-support. On the upside, the immediate resistance is now marked at the 3330 minor peak, followed by the subsequent resistance at the 3400 psychological hurdle.