Singapore share prices are expected to take guidance from the movement of US stocks this week in the absence of fresh leads on the domestic front, dealers said. They said however that a buoyant technology sector may continue its rally and lift share prices.
"The technology sector is behaving as expected. It is still going strong, contributing to the rebound in the STI (Straits Times Index)," said a dealer from a local brokerage on Friday.
"The stream of good news, especially for the tech cluster, should allay fears that Singapore's tech sector is lagging behind its North Asian competitors," CIMB-GK Research said in a note.
A forward-looking business survey released Friday showed the electronics index rose for the fifth consecutive month in November to 55.4 points, meaning the sector is in an expansion mode.
Electronics items like semiconductors and computer disc drives are Singapore's main exports.
For the week ending December 2, the STI was at 2,332.52, up 23.98 points or 1.04 percent from the previous week.
Average daily volume for the week was 752 million shares worth 797 million Singapore dollars (472 million US).