STI Technical Analysis - 02 Dec, 2015

Market Review

• Singapore's benchmark Straits Times Index was at 2,895.17 points at 9.07am on Wednesday, up 24.91 points or 0.87 per cent and ended lower to 13.4 points or 0.47 percent at 2883.6. STI came off from its intra-day peak of 2902.80 and low of 2880.86. 

• Singapore equities nudged up at noon and amid mixed trading in other Asian markets as investors pondered over the US Federal Reserve's interest-rate outlook after a surprise contraction in U.S manufacturing.

Market Forecast

STI is expected to consolidate in next trading session.It moved just above its support level at 2880. It has its next support at 2854 and resistance at 2948. Investors are likely to remain cautious amid the US Federal Reserve's interest-rate outlook after a surprise contraction in U.S manufacturing output, missing the median estimate of 50.5.

STI Counter Specific News

• Frasers Property and joint venture partner Sekisui House launched DUO to the Australian market last week, putting on sale were one-bedroom suites from A$625,000, one bedroom apartments from A$700,000, two-bedroom apartments from A$1,180,000 and three-bedroom dual-key apartments from A$1,930,000.

• Marine logistics firm Marco Polo Marine and rig builder Sembcorp Marine fired salvoes at each other in an ongoing contractual dispute over a US$214.3 million ($303 million) rig building contract. The contract, which Marco Polo first terminated in November, was in turn terminated by Sembcorp's PPL Shipyard after it said Marco Polo failed to pay a progress payment plus interest.

• Intraco has won another $3.2 million by an arbitration tribunal in its long-drawn feud with privately-held Timor Global over a 2007 joint venture agreement.The trading company had already won a sum of $6.6 million out of its total claim of $9.8 million against Timor Global, although that was before interests and costs.