STI rises to 3.7% as net institutional inflow reaches $763m

This outpaced the FTSE ASEAN All-Share Index's 2.2% gain.

The Straits Times Index (STI) has gained 3.7% since surpassing 3,400 on 29 August, closing at 3,512.67 on 10 September and at 3,531.17 the following day.

This outpaced the Financial Times Stock Exchange (FTSE) ASEAN All-Share Index’s 2.2% gain, whilst the FTSE All-World Index and FTSE APAC indices declined 1.5% and 2.9% respectively.

Year-to-date, the STI has delivered a total return of 14.3%. Other STI highs include 3,641.65 in May 2018 and 3,906.16 in October 2007 prior to the January 2008 revamp.

Most ASEAN economies have reported moderate growth acceleration in the second quarter of the year, supporting currency appreciation against the weakening US dollar, with the USD-SGD consolidating between 1.31 and 1.30.

Local trading activity has also risen, with STI-linked exchange-traded funds reaching their highest turnover since June 2022, and turnover in Structured Warrants and Daily Leverage Certificates increasing by a third in early September.

Since returning above 3,400, institutions have booked $763m in net institutional inflow into Singapore stocks, reversing more than half of the net outflow of the $1.303b net outflow seen earlier this year. In comparison, when the STI rose above 3,400 in early July, the market recorded $378m in net institutional inflow.

Financial services led the recent surge, followed by telecommunications, S-REITs, utilities and industrials. The top stocks with the highest net institutional flow include Singtel, DBS, and OCBC Bank.