Singapore shares open lower on Tuesday; STI down 0.3%

Singapore shares began trading lower on Tuesday (Dec 17), ahead of an imminent Fed rate decision. The Fed is expected to cut rates by a quarter point at its two-day meeting which begins on Tuesday, while updating on its outlook for the year ahead and beyond.

As at 9.01 am, the Straits Times Index (STI) opened 9.7 points or 0.3 per cent lower at 3,811.33. Across the broader market, losers outnumbered gainers 52 to 42, after 27.3 million securities worth S$53.3 million changed hands.

Wee Hur was the most actively traded counter in terms of volume, rising 1.1 per cent or S$0.005 to S$0.48, with 5.6 million shares transacted.

Genting Singapore was also briskly traded, falling 0.7 per cent or S$0.005 to S$0.76. Meanwhile, shares of Yangzijiang Shipbuilding rose 0.7 per cent or S$0.02 to S$2.90.

The three local banks were a sea of red at open today. UOB edged lower by 0.3 per cent or S$0.12 to S$37.08. DBS inched down 0.1 per cent or S$0.04 to S$44.27. OCBC declined 0.4 per cent or S$0.07 to S$16.93.

Wall Street stocks were mixed as investors gauged economic data while awaiting the heavy news of a Fed rate decision. The tech-rich Nasdaq surged to a new record by 1.2 per cent to 20,173.89 – just the second time the benchmark has closed above 20,000 points. The Dow Jones Industrial Average inched down 0.3 per cent to 43,717.48, while the broad-based S&P 500 advanced 0.4 per cent to 6,074.08.

In Europe, shares closed lower on Monday, weighed down by heavyweight luxury and energy shares following disappointing China data, while French stocks underperformed after a surprise ratings downgrade by Moody’s. The pan-European Stoxx 600 index closed 0.1 per cent lower at 515.83 points, trading near two-week lows, with autos the top sector decliner by percentage, down 2.8 per cent.