Singapore stocks tumble as strict virus curbs return


Office workers scan a Safe Entry QR code to enter a mall, amid the coronavirus disease (COVID-19) outbreak in Singapore May 12, 2021. REUTERS/Dawn Chua

BENGALURU: Singapore stocks tumbled more than 3% on Friday after the city-state's imposition of the strictest COVID-19 curbs since last year stoked worries of a potential unravelling of its nascent recovery.

Most Asian stocks, however, strengthened on reassurances from the U.S. Federal Reserve that a spike in inflation was temporary, with China and South Korea shares advancing 1.7% and 1.1%, respectively.

Singapore stocks marked their worst session in nearly a year and the dollar fell 0.2% as the city-state tightened restrictions on social gatherings and public activities amid a rise in locally acquired infections.

The Asian trade and financial hub had been reporting almost zero or single-digit daily local infections for months, before a recent rise.

Losses were driven by a 7% slump in flag carrier Singapore Airlines and a 4% drop in in-flight caterer SATS Ltd.

"Quick reopening hopes have been dashed, especially for the travel and leisure sectors," Bank of Singapore analyst Moh Siong Sim said. "Manufacturing should hold up as has been the case over the past year."

Taiwan shares rose 1% to snap four sessions of losses after Premier Su Tseng-chang said the COVID-19 alert level would not be raised and that there were enough resources to fight the pandemic.

The bourse though registered its worst week in over a year as it lost more than 8%, amid tighter curbs in public places forced by a rare and unexpected rise in COVID cases.

Philippine shares reversed losses to rise 0.5% as market participants picked up beaten-down stocks, an analyst said, after dropping as much as 2.5% to six-month lows earlier in the session.

Chinese yuan firmed 0.3% to lead gains among Asian currencies as the dollar weakened, with investors assessing the risk of U.S. inflation rising faster than expected.

Indonesian 10-year benchmark yields are down about 0.90 basis points at 6.405%.

India's COVID-19 cases cross 24 million.

In the Philippines, top index gainers are SM Investments Corp up 4.3% and Aboitiz Equity Ventures Inc up 2.3% - Reuters

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 46
Cxense type: free
User access status: 3
   

Next In Business News

Australian central bank among those hit by widespread internet outages
Euro Holdings cancels proposed bonus issue after steep plunge
CPO futures reverses gains as India puts import tax cut plans on hold
Advancecon buys 51% stake in loss making quarry operator for RM30.4mil
MSM says sugar demand stable despite lockdown
N. American oil service firms' pricing and hiring on the upswing
FBM KLCI falls for third straight day, down 7.46 points
Govt approves wage subsidy applications worth RM1.215bil as at June 4
Zafrul: RM12.12bil approved under SME soft loan fund as at June 4
Crude oil prices fall on stronger U.S. dollar

Stories You'll Enjoy


Vouchers