Daily Markets Briefing: STI up 1.22%

Gains on US stock markets could see positive local sentiment.

The Straits Times Index (STI) ended 38.84 or 1.22% higher at 3,212.30.

The top active stocks were DBS, which grew 1.83%, Genting Sing, which climbed 3.88%, UOB, which rose 1.92%, CapitaLand, which inched up 0.31%, and Singtel with a 1% advance.

The FTSE Mid Cap climbed 7.14% whilst the FTSE Small Cap rose 1.18%.

According to OCBC Investment Research, US stocks snapped a two-session on Tuesday with the S&P 500 and Nasdaq finishing above psychologically important levels for the first time in a month, coupled with a robust tech rally which offset the lacklustre results from major US banks.

Nine out of eleven S&P 500 industries ended higher, led by Communication Services (1.74%) and Healthcare (1.74%). Materials (-0.65%) and Industrials (-0.32%) bucked the trend.

"We expect the local sentiment to be fairly positive today, following the overnight gains on US stocks market," OIR said.