Regional markets falter as Covid-19 weighs on investor sentiment
SINGAPORE (THE BUSINESS TIMES) -Local shares started the week on a dour note alongside other markets in the region, as renewed fears over the Delta variant of the coronavirus rattled investors’ confidence.
The benchmark Straits Times Index fell 0.6 per cent or 19.97 points to finish at 3,145.52. Decliners outpaced advancers 334 to 188, after some 1.73 billion securities worth S$1.29 billion changed hands.
It was also a sea of red across the region. The Nikkei fell 1.6 per cent; the Hang Seng Index lost 0.8 per cent, and the KLCI shed 0.2 per cent. The Kospi and Jakarta Composite Index fell 1.2 per cent and 0.8 per cent respectively.
Oanda senior market analyst Jeffrey Halley noted that the “evolution of outbreaks” in Asia is currently weighing on sentiments in the markets. “One must search hard for reasons to be cheery in Asia today,” said Mr Halley.
“Widespread outbreaks and restrictions would be a game-changer for the Asia recovery and, one could argue, the global one as well when one considers the implications to supply chains.”
On the local bourse, City Developments was the biggest gainer for the day. The counter rose 3.2 per cent to S$7.05, as investors sought optimism in the property player’s announcement of its launch pipeline of close to 2,000 housing units for sale in four upcoming launches across Singapore.
ComfortDelGro was another top advancer, rising 3.1 per cent to S$1.67 after the company announced that it was planning to list its wholly-owned subsidiary – ComfortDelGro Corporation Australia – on the Australian Securities Exchange.
Nanofilm was the biggest decliner, falling 28.8 per cent to S$4.25. The stock tumbled at Monday’s open following a disappointing set of half-year results and the resignation of chief operating officer Ricky Tan. Talks of expectations of a better performance in H2 by the company later in the day did little to soothe investors’ nerves.
Sembcorp Marine was the most heavily traded stock, with some 74.1 million shares changing hands. The counter closed at 10.9 Singapore cents, down 2.7 per cent.
