The latest U.S. producer price index remained stable, resulting in a decline in market expectations for the Federal Reserve to maintain high interest rates, and also curbed investors' expectations for Singaporean bank stocks to continue to rise. The three largest bank stocks with the largest weight in the Straits Times index did not change much on Friday (March 14), causing the Sea Index to fall slightly by 1.5 points or 0.04%, closing at 3836.02 points.

Asian stock markets rose and fell mixed, with Hong Kong, Shanghai, Tokyo and Sydney rising 2.12%, 1.81%, 0.72% and 0.59% respectively; Seoul closed down 0.28%.

Dr. Han Wei, portfolio manager of Phillip Securities, said in an interview with Lianhe Zaobao: “China's government plans to promote consumption has driven market sentiment and consumer stocks to rise, thus driving the index to rise. Most regional markets have rebounded due to the rebound of US stock futures.”

Local stock markets are relatively weak. He believes that this is because the unexpected flatness of the latest US Producer Price Index (PPI) suppresses expectations of rising interest rates, which is not conducive to the future profitability of the three major local bank stocks. The rebound in technology stocks in the global market has limited positive impact on the Sea Index, because technology stocks account for a small proportion of the Sea Index component.

The stock market traded 1.24 billion shares throughout the day, with a total transaction volume of 1.29 billion yuan; 338 stocks rose and 207 stocks fell.

Further reading

Local stock markets opened on Friday and fell 0.21%

Local stock markets opened on Friday and fell 0.21%

Local stock market is not negatively affected by US stocks, and the Haixin Index rose 0.12%

Local stock market is not negatively affected by US stocks, and the Haixin Index rose 0.12%

The largest declines in the Sea Index were Sembcorp Industries, Seatrium and Jardine Holdings (JMH), which fell by 2.14%, 0.95% and 0.92%, respectively, at 5.96 yuan, 2.09 yuan and 43.06 US dollars (S$57.51).

Rising stocks include Wilmar International, Frasers Logistics and Commercial Trust and Mapletree Industrial Trust, closing up 1.85%, 1.67% and 0.97% respectively, at RMB 3.30, US$0.915 and RMB 2.08.