ArrowArtboardCreated with Sketch.Title ChevronCrossEye IconIcon FacebookIcon LinkedinShapeCreated with Sketch.Icon Mail ContactPath LayerIcon MailMenu BurgerPositive ArrowIcon PrintIcon SearchSite TitleTitle ChevronIcon Twitter
Nikkei Markets

Singapore shares slide with Asia after Wall Street retreat

23 of 30 Straits Times Index constituents end lower

SINGAPORE (Nikkei Markets) -- Singapore shares extended losses on Tuesday, along with other Asian markets as a technology-led selloff on Wall Street spilled into the region, while risk appetite remained weak amid trade and geopolitical tensions.

The Straits Times Index lost 1.2% to 3,026.99, adding to a 0.6% retreat on Monday. Twenty-three of the gauge's 30 constituents ended lower on Tuesday. The Nikkei Asia300 Index of regional companies fell 1.6%. Malaysian markets were closed for a holiday.

Losses came after the three main U.S. equity gauges ended lower on Monday, with technology stocks weakening as Apple fell 4% on fresh concerns over demand for its iPhones. Apple has in recent weeks cut production orders for the three iPhone models it launched in September, The Wall Street Journal reported on Monday, citing people familiar with the situation.

"The overnight market action signals the sell-off in risk assets could be an act of asset reallocation," Jonathen Chan, a market analyst at CMC Markets and Stockbroking, said. The yen, widely considered a safe-haven asset, rose 0.2% against the dollar, its third day higher.

Singapore-listed Apple supplier Hi-P International declined 2.4%, while other technology sector stocks also weakened. Venture Corp., Singapore's largest technology company, and hardware maker Creative Technology lost 1.9% each.

Meanwhile, global investors are looking ahead to a meeting between U.S. President Donald Trump and his Chinese counterpart Xi Jinping later this month for further developments on bilateral trade. Trade tensions between the U.S. and China are expected to see a lull around the upcoming G20 summit in Argentina, executives at global money manager BlackRock said on Tuesday.

On Tuesday in Singapore, heavyweight lenders contributed significantly to losses, with United Overseas Bank and DBS Group Holdings shedding 1.7% and 1.3%, respectively, while Oversea-Chinese Banking Corp. slid 2.5%.

Bourse operator Singapore Exchange lost 1.4%. The company on Monday said a unit signed a deal with Shanghai Ganglian E-Commerce Holdings to establish a joint venture company with an initial issued share capital of S$200,000 ($145,783).

SATS closed 2.3% lower. The stock began trading ex-dividend on Tuesday. Separately, the ground-handling and in-flight catering service provider on Monday said its unit SATS China had signed an agreement with Tianjin Wuqing Hexiwu Town Government to build a central kitchen in Hexiwu Town Food Zone.

Engineering and construction company Sapphire jumped 9.2% after saying a unit and its consortium partners secured a public-private partnership project worth 1.4 billion yuan ($201.7 million) in China's Chengdu district.

--Joannah Perez

You have {{numberReadArticles}} FREE ARTICLE{{numberReadArticles-plural}} left this month

Subscribe to get unlimited access to all articles.

Get unlimited access
NAR site on phone, device, tablet

{{sentenceStarter}} {{numberReadArticles}} free article{{numberReadArticles-plural}} this month

Stay ahead with our exclusives on Asia; the most dynamic market in the world.

Benefit from in-depth journalism from trusted experts within Asia itself.

Try 3 months for $9

Offer ends September 30th

Your trial period has expired

You need a subscription to...

See all offers and subscribe

Your full access to the Nikkei Asian Review has expired

You need a subscription to:

See all offers
NAR on print phone, device, and tablet media