Singapore shares fell slightly at midday on Thursday as many investors stayed on the sidelines ahead of a key employment report on Friday that would provide greater clarity about the health of the U.S. economy.
By the lunch break, the Straits Times Index (STI) <.FTSTI> was down 0.1%, or 2.03 points, at 3,111.66. The total value of shares traded in the morning session was $752.7 million, lower than $879.3 million on Wednesday.
Local traders said support in the afternoon is likely to be around 3,100 points.
By the lunch break, the Straits Times Index (STI) <.FTSTI> was down 0.1%, or 2.03 points, at 3,111.66. The total value of shares traded in the morning session was $752.7 million, lower than $879.3 million on Wednesday.
Local traders said support in the afternoon is likely to be around 3,100 points.
“Broadly, sentiment has not been too positive, and to add to the mix the economic data has not been great as well,” said Phua Ming-Weii, an analyst at Phillip Securities.
“With the disappointing services numbers, the markets will probably be looking for further signs of weakness. If NFP (non-farm payrolls) comes out pretty negative, I think that the current risk-off that we are seeing could worsen,” he said.
Reports on Wednesday showed a sharp slowdown in the services sector and less hiring by private companies in the U.S. in April. A key labor market report that will be released on Friday is also expected to show payroll growth eased last month.
In Singapore, commodity stocks extended their losses from the previous trading session, led by Wilmar International (WLIL.SI) which dipped 2.3%. Olam International (OLAM.SI) retreated 0.7% and Noble (NOBG.SI) slipped 0.5%.
However, casino operator Genting Singapore (GENS.SI) rose as much as 1.9%, outperforming the broader market, as investors bought the stock following the previous day’s decline.
Genting shares on Wednesday after rival Las Vegas Sands (LVS.N) reported disappointing quarterly profit at its Marina Bay Sands casino in Singapore, raising concerns about Genting’s own result next week.
“Genting Singapore’s share price slippage provides a trading opportunity, as Resorts World Singapore could still potentially deliver a strong first quarter EBITDA (earnings before interest, tax, depreciation and amortisation) that could create short term upside for the shares," UOB Kay Hian said in a report.
At midday, Genting shares were up 1.4% at $2.11 on a volume of 24.3 million shares.
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