STI up 0.3%

In Asia the general mood remains positive.

OCBC Investment Research said:

With Wall Street closed last night, the local bourse could get off to a muted start (Nikkei just 0.1% higher).

As the index is already quite close to the key 3230 resistance, further upside may be limited without more positive corporate news.

Instead investors could remain on the sidelines ahead of results from bellwether stocks like banks and property companies (also likely eyeing their outlook in response to the recent property cooling measures).

Above 3230, we peg the next resistance at 3280.

On the downside, 3200 should continue to hold, ahead of 3150.

IG Markets Singapore meanwhile noted:

All eyes are focused on the BoJ today as their latest meeting ends and expected changes to the Asset Purchase Program are announced. Having softened to break through the 90 handle against the greenback, the Japanese currency is trading slightly lower at 89.75 this morning while the Nikkei 225 dropped 1.5% yesterday.

The Shanghai Composite gained 0.5% while in Singapore the STI crept up 0.3%. But Asian markets will miss the direction of Wall Street today, although the general mood remains positive.

Markets appear clear of tension with so many central banks still pushing the liquidity buttons, coupled with the bullishness of January optimism.

On the commodity front, energy markets did very little last night, and they continue to look for a leg up from positive economic data. which has been streaming in slowly.

Gold has been edging up quietly in the background and now trades at US$1692 an ounce, with a push towards $1700 a realistic prospect.

The futures market points to a firmer open for the STI this morning, though yesterday’s best performer in F&N is likely to be an early drag.