Singapore shares edged higher at midday, in line with other Asian bourses as the European Central Bank gave confidence it was prepared to buy bonds of troubled euro zone countries.
The benchmark Straits Times Index rose 0.4% to 3,100.01 points. However, gains are likely to be limited ahead of the release of the closely-watched monthly U.S. payrolls data due later in the day. The MSCI index of Asia-Pacific shares outside Japan climbed 0.5%.
Smaller offshore and marine services companies such as Kreuz Holdings and Ezion Holdings outperformed the broader market on continued optimism for the industry.
Shares of Ezion and Kreuz were both up 3.5% at $1.345 and $0.445 respectively.
Although Ezion’s shares have more than doubled so far this year, CIMB Research believes they still offer value as it sees catalysts from more liftboat and service rigs.
Ezion is also undervalued, trading at 1.8 times its book value, below its three-year price-to-book value mean of two times.
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