Singapore share prices snapped a three-day winning streak to close lower on Thursday on fears that record high oil prices, which breached 62 dollars a barrel, could dampen economic growth this year, dealers said. The Straits Times Index fell 21.79 points, or 0.98 percent, to 2,212.34 on volume of 715 million shares worth 942 million Singapore dollars (557 million US), down from 812 million shares valued at 835 million dollars on Wednesday. Losers led gainers 167 to 319, with 726 stocks unchanged.
"The market is getting all jittery because of the escalating oil prices," said a dealer at a local brokerage. The price of New York crude oil breached 62 dollars per barrel for the first time on Thursday, as tropical storms forced the closure of US oil rigs in the Gulf of Mexico.
New York's main contract, light sweet crude for delivery in August, rose 82 cents to 62.10 dollars per barrel in electronic deals - the highest level since it was first traded in 1983.
While rising oil prices will benefit oil and gas-related stocks, OCBC Securities cautioned that it could curtail the overall uptrend in the market.
Singapore Press Holdings (SPH) climbed two cents to 4.52 on hopes it will sell the Paragon shopping mall on Orchard Road, the city-state's main shopping district, dealers said.
SPH said however it was not in talks with any party regarding a potential sale. Among other blue chips, Singapore Telecommunications was five cents weaker at 2.67, Singapore Airlines was flat at 11.30 and ST Engineering declined a cent to 2.50. Banking stocks were lower, with DBS falling 40 cents to 14.00, United Overseas Bank losing 10 cents to 14.10 and Oversea-Chinese Banking Corp falling 10 cents to 11.40.
Property stocks also fell, with Keppel Land a cent lower at 2.62, CapitaLand off two cents to 2.36 and City Developments slipping 15 cents to 8.00.
Among technology stocks, Creative Technology was steady at 11.00, Chartered Semiconductor lost five cents to 1.29 and Venture Corp fell 20 cents to 16.10.