Singapore’s Straits Times Index (SGX:^STI) reached a 17-year high on Monday, September 23, but lost ground by the end of the week. The index closed at 3,573.36 on Friday, down from its peak of 3,638.54.
DFI Retail Group Holdings (SGX: D01) remained a standout performer, gaining over 9% for the week, closing at US$2.18. It had earlier announced the divestment of its 21.1% stake in Chinese supermarket operator, Yonghui Superstores Co., Ltd (SHA: 601933).
CapitaLand China Trust (SGX: AU8U) share price also saw significant growth, up 14% after announcing a new unit issuance. CCT closed at $0.86 on Friday.
However, the three local banks reversed earlier gains, with DBS Group Holdings (SGX: D05) leading the decline. It was the second-biggest loser on the STI, falling 1.8 per cent or S$0.70 to close at S$37.60. Singapore’s largest bank saw its share price hit an all-time high of S$39.70 recently, giving the lender a market capitalisation of nearly S$113 billion at its peak.
Yangzijiang Shipbuilding (SGX: BS6) was the biggest loser, dropping 6.3%. On Sep 12, the company announced a planned acquisition of a 34 per cent stake in a Chinese subsidiary of Japanese shipbuilder, Tsuneishi Group, for S$152.6 million.
Wall Street experienced mixed results, but the major indices posted weekly gains, fueled by optimism surrounding China’s stimulus measures. The Dow Jones reached a new closing record while the NASDAQ and S&P 500 dropped 0.39% and 0.13% respectively.
Hong Kong stocks surged for the fourth consecutive day, driven by record trading volume and Beijing’s economic stimulus that included mortgage rate cuts and an unprecedented US$114 billion stock-buying facility.
The Hang Seng Index recorded its best week in 26 years, gaining over 13% gain. Alibaba Group Holding Ltd (HKG: 9988) led the gains, closing up 10.07 per cent in New York to US$105.07, while its Hong Kong shares gained 4.86 per cent to reach HK$102.50 on Friday.
We’ve discovered 5 SGX stocks that not only offer better returns than fixed deposits but also have the potential to beat inflation. Plus, these stocks provide capital growth and can significantly compound your wealth in the long term. If you’re looking to make your money work harder for you, download our FREE report for details on these five stocks.
Follow us on Facebook and Telegram for the latest investing news and analyses!
Disclosure: Joanna Sng owns shares of DBS and Alibaba.