STI fell 0.3% to 2,988.55 points by midday

Singapore shares slipped by midday, weighed by losses in commodity firms such as Wilmar International, as soaring borrowing costs fanned worries that Spain may need a bailout.

By 1:00 p.m., the benchmark Straits Times Index fell 0.3% to 2,988.55 points, while MSCI's broadest index of Asia-Pacific shares outside Japan dropped 1.1% to a one-month low.

Commodity companies were among the biggest losers on the key index in Singapore, due to concerns the euro zone's worsening debt crisis could drag on the global economy. Noble Group fell 1.4% to $1.03 and palm oil firm Wilmar lost 1.1% at $3.55.

Asia's largest hospital operator IHH Healthcare Bhd shares were traded at $1.22 in heavy volume on its market debut, 10.5% above its initial public offering price of $1.113, indicating strong interest in the healthcare sector.