Daily Markets Briefing: STI down 0.7%

Initial hurdle pegged at 3,310.

OCBC Investment Research said:

The fairly strong rebound on Wall Street overnight is likely to provide some inspiration to the local bourse this morning, especially after yesterday’s 0.7% loss.

We peg the initial hurdle at 3,310, ahead of the 3,330 key peak.

On the downside, the immediate support is now pegged at the 3,265 recent trough, followed by the next base at the 3,240 key resistance-turned-support.

IG Markets Singapore said:

In Singapore, March CPI eased to 3.5% helped by lower COE and housing market on the government’s clampdown on credit. This is a positive sign for policy makers who have been fighting to rein in inflation targeting the lower end of 3%.

In Asia, we expect the momentum to trickle through. Our prices show HSI to open up 1% at 22056 and Singapore’s STI to open up higher.