Singapore shares ended slightly higher in lacklustre trade on Monday, led by a last-minute spurt of bargain-hunting in property and technology counters, but sentiment was cautious over the uncertain outlook for oil prices.
The key Straits Times index edged up 0.71 percent, or 12.56 points, to end at 1,779.79. But the index is down about three percent since the start of May as confidence has been hit by concerns over looming US interest rate hikes, possible slowing of China's economy and rising crude oil prices.
In the broader market, gainers outpaced losers 219 to 107 overall, as volumes rose to 747 million from 628 million shares on Friday.
Oil prices fell one percent on Monday after Saudi Arabia said it was raising output unilaterally and pressed Opec to lift official production limits by as much as 11 percent.
US light crude futures dipped 43 cents to $39.50 a barrel, down from a 21-year high of $41.85 struck last Monday. London Brent crude fell 42 cents to $36.09 a barrel.
But investors remained jittery on worries that dissent among Opec members over Saudi Arabia's plans could limit future output increases and prevent a significant fall in crude prices.
Opec members are due to discuss production policy at a scheduled meeting on June 3 in Beirut.
"While the fact that oil prices have fallen below $40 a barrel is good news for the market, gains have been capped because it's anybody's guess what Opec's decision is going to be like on the third of June," said Samuel Wong, an institutional dealing manager with OCBC Securities.
"The worry over a US interest rate hike is also another overhang," he said.
Datacraft Asia Ltd, Southeast Asia's largest computer data network builder, closed four percent up at US $1.07, while contract microchip maker Chartered Semiconductor Manufacturing Ltd ended nearly three percent higher at S$1.44.
Singapore's fifth-largest property developer Keppel Land Ltd finished 4.4 percent higher at S$1.68, while Southeast Asia's biggest hotel and property group CapitaLand Ltd closed 1.6 percent up at S$1.28.
Traders said sentiment on property counters was boosted by data from the Urban Redevelopment Authority which showed the glut in Singapore's private residential market was easing.
According to the URA, the stock of homes approved for sale in uncompleted projects at the end of March this year fell 16.2 percent from a year earlier to 13,378 units, the lowest supply in nearly five years.
Australian casino operator Lasseters International Holdings, which made its trading debut on the Singapore Exchange on Monday, was the session's top active.
The stock finished up 51 percent from its initial public offer price of 23.5 Singapore cents at 35.5 cents, after a high of 40 cents at the open. Volume was a heavy 88 million shares.
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