Daily Markets Briefing: STI ends flat

Today’s tone likely to turn more downside biased .

OCBC Investment Research said:

The mixed reactions of Wall Street overnight are unlikely to offer any strong cues to the local bourse this morning.

Meanwhile, the STI ended flat yesterday right at the 3070 key resistance; this shows that investors may have turned more cautious about the near term outlook.

And with today’s tone possibly turning more downside biased led by the poor Nikkei start, we could see a pull-back by the index in the direction of the 3030 resistance-turned-support.

Beyond that, the subsequent base lies at the 3000 psychological support. On the upside, 3120 support-turned-resistance remains the next hurdle to overcome.