Daily Markets Briefing: STI up 0.6%

Index likely to stay more upbeat.

OCBC Investment Research said:

With the STI overcoming the 3280 immediate resistance with a 0.6% gain yesterday, this could potentially reverse the near-term downside momentum seen over the past two weeks.

The index is now more likely to maintain yesterday’s run and climb towards the 3320 key resistance in the days ahead.

Beyond that, the next obstacle lies at the 3400 psychological resistance. On the downside, 3280 is the newly established resistance-turned-support, followed by the next base at the 3230 key support.

Meanwhile, IG Markets Singapore noted:

In Singapore the STI gained 0.6% to leave it at 3289 this morning. Today could see a more positive vibe after last night’s upbeat US data.

Singapore saw industrial production plummet 16.6% year-on-year in February, though this did little to concern traders yesterday. The electronics sector saw a fall of 21.1%.