Daily Markets Briefing: STI up 0.1%

Expect some profit-taking today.

According to OCBC, while Wall Street ended mostly mixed overnight, the modestly higher index futures could provide the local bourse with a boost, potentially extending the STI’s 0.1% rebound yesterday.

Here’s more from OCBC:

With the index seen as holding pretty well above the key 2900 support, the current uptrend is likely to continue; although we can still see sporadic selling into strength, sparked by earnings disappointments over the next two weeks. 

In addition, we note that the daily RSI is hovering just below the overbought region, which increases the odds of profit-taking. 

Overall volume climbed 17% to 1.67b units traded, while total value rose 10% to S$1.06b; but average value/unit eased 7% to S$0.63.