Singapore shares closed 0.13 percent lower on Wednesday, on growing expectations the U.S. Federal Reserve would raise interest rates earlier than expected.
U.S. stocks fell as concerns grew that the Federal Reserve may raise interest rates sooner than anticipated and a rally in Apple Incorporated faded after the company announced its much anticipated new products. The Federal Reserve could signal an earlier-than-expected hike in rates at their policy-setting meeting on Sept. 16 to 17.
The benchmark Straits Times Index fell 4.33 points to close at 3,338.63 points. Trading volume was 1.1 billion shares worth 878 million Singapore dollars. Decliners outnumbered advancers 275 to 156, while 514 stocks closed unchanged.
ST Engineering gained 0.3 percent to 3.66 Singapore dollars. It announced that VT Mobile Aerospace Engineering and the City of Pensacola have signed an agreement to set up an aircraft maintenance, repair and overhaul (MRO) facility at the Pensacola International Airport in Pensacola, Florida. The hangar will be able to accommodate two wide-body aircraft, and is expected to be ready for operations in mid-2016. VT Aerospace is a subsidiary of VT Systems, the U.S. headquarters of ST Engineering.
Olam International rose 1.2 percent to 2.56 Singapore dollars. It announced that its wholly owned dairy farming subsidiary New Zealand Farming Systems Uruguay (NZFSU) will be investing 80 million U.S. dollars to establish a new dairy processing facility in the central region of Uruguay. The project enables Olam to fully integrate its dairy supply chain and realize the full potential of NZFSU's dairy farming operation by leveraging its global trading and distribution network.
Global Logistic Properties shed 0.3 percent to 2.86 Singapore dollars. It has signed new lease agreements totaling 87,000 square meters with three leading third-party logistics companies in eastern and midwestern China.
Among the top gainers, Petra Foods rose 4.1 percent to 4.05 Singapore dollars, whereas Jardine Matheson became one of the top losers by falling 1 percent to 62.20 U.S. dollars. (1 U.S. dollar equals to 1.26 Singapore dollars) Enditem