SG Morning Call | Singapore's Inflation Fell to 4.1% in July; Police Seek Financial Details in Laundering Case

Market Forecast

The Singapore stock market has tracked higher in back-to-back sessions, collecting more than 20 points or 0.6 percent along the way. The Straits Times Index now rests just beneath the 3,175-point plateau and it's poised to add to its winnings again on Thursday.

The global forecast for the Asian markets is upbeat, with technology stocks expected to fuel the rally. The European and U.S. markets were up and the Asian markets are expected to open in similar fashion.

The STI finished modestly higher on Wednesday following gains from the financial shares and industrial issues, while the properties were mixed.

For the day, the index gained 14.30 points or 0.45 percent to finish at 3,174.18 after trading between 3,147.22 and 3,182.95.

Local News to Watch

Singapore Seeks Financial Firms' Documents in Laundering Case

The Singapore police are waiting for documents from at least nine financial institutions in their probe into one of the biggest money laundering cases in the country.

Investigations are still at an early stage, according to public prosecutors at a court hearing on Wednesday. They argued for extending the remand of those arrested and said luxury cars and properties have been seized.

Singapore Headline Inflation Falls to 4.1% in July; Core Inflation Drops to 3.8%

Singapore’s headline and core inflation both continued to fall in July, data from the Monetary Authority of Singapore and Ministry of Trade and Industry showed on Wednesday (Aug 23).

Headline inflation for the month dipped to 4.1 percent year on year from June’s 4.5 percent, largely in line with the median 4.2 percent forecast by private-sector economists in a Bloomberg poll. This was on account of lower private transport inflation, on top of the decline in core inflation.

Core inflation, which excludes accommodation and private transport, slipped to 3.8 percent on the year in July, from 4.2 percent in the preceding month. The reading matched economists’ median estimate. The decline was largely caused by a smaller increase in food prices and a fall in electricity and gas costs.