Daily Markets Briefing: STI down 1.05%

Investors are urged to take caution.

The Straits Times Index (STI) ended 35.78 points or 1.05% lower to 3356.73, taking the year-to-date performance to -1.36%. The market was closed for Friday.

OCBC Investment Research noted that US stocks closed lower on Friday, but well off the lows of the sessions as investors looked past signs of escalating Washington-Beijing trade tensions, an issue that is seen as a major potential headwind but which has thus far been more bark than bite for equities.

Six out of eleven S&P 500 industries ended lower, led by Energy (-2.10%) and Materials (-0.63%). Consumer Staples (1.32%) and Telecommunication Services (1.17%) led the gains.

“The weakness on Wall Street Friday could keep local sentiment cautious today,” OIR said.