Daily Markets Briefing: STI up 0.2%
Index likely to consolidate around current levels.
OCBC Investment Research said:
The muted reactions on Wall Street overnight are unlikely to have much effect on local sentiments this morning.
Meanwhile, the STI registered a very modest gain (up 0.2%) yesterday and is still not showing any signs of breaking out of its 3120-3160 trading range for now.
In the short run, we could continue to see the index consolidate around current levels in the absence of catalysts.
Below the 3120 support, we still see the next base at the 3070 resistance-turned-support. On the upside, the subsequent obstacle lies at the 3200 psychological hurdle.