Singapore share prices closed 1.85 percent lower on Friday in cautious trade after Wall Street fell on the release of weak US housing market data, dealers said. The blue chip Straits Times Index fell 55.00 points to 2,922.91 on light volume of 834.57 million shares worth 1.06 billion Singapore dollars (779 million US).
Falling issues led risers 336 to 151, while 911 issues were unchanged. A weaker-than-expected report on the US housing market Thursday raised fresh fears for the economy, analysts said. US home sales fell another 2.6 percent in June as inventories rose and prices fell, with buyers still hesitant in the face of a horrific market slump.
One dealer said investors were hesitant to make moves in the local bourse: "Everyone is just taking a short-term trading view." Property stocks were among the biggest losers. CapitaLand fell 19 cents to 5.91 Singapore dollars, City Developments fell 40 cents to 11.50, and Keppel Land closed down seven cents at 5.13.
Chipmaker Chartered Semiconductor was a key loser, falling four cents to 0.65. The company announced that it returned to profitability in the second quarter but forecast a net loss for the next three months. Singapore Airlines fell 48 cents to 15.42. Banks were also lower. DBS fell 38 cents to 19.38, UOB ended 30 cents lower at 19.08 and OCBC dropped 11 cents to 8.35.