Asian Markets Show Strength as Singapore's STI Bounces Back with 0.12% Gain

The Singapore stock market bounced back on Friday, recovering after a brief pause in its recent rally. The Straight Times Index (STI) climbed to 4,744.66, up 5.59 points or 0.12 percent for the session, continuing its positive momentum heading into the week. Trading activity kept the index within a range of 4,723.08 to 4,750.31, signaling steady investor interest across the board.

**Strong Performances Drive Mixed Sector Movements**

Mixed results across different sectors characterized Friday's trading. Some standout performers included CapitaLand Investment, which jumped 1.76 percent, while DFI Retail Group soared 1.79 percent and Hongkong Land surged 3.20 percent. Meanwhile, DBS Group and Keppel DC REIT both gained 0.45 percent, reflecting steady demand in the financial and infrastructure segments.

Not all stocks moved higher. Oversea-Chinese Banking Corporation stumbled 1.83 percent, while Singapore Airlines slumped 0.46 percent. Keppel Ltd and SembCorp Industries each dropped 0.66 percent. Other notable declines included SATS at -0.53 percent and Singapore Technologies Engineering at -0.33 percent. Several stocks including Mapletree Pan Asia Commercial Trust and City Developments ended the day unchanged.

**Wall Street Momentum Carries Over to Asia**

The bullish sentiment originated from Wall Street, where the major indices posted impressive gains on Friday. The Dow jumped 237.96 points or 0.48 percent to reach a record close of 49,504.07, while the NASDAQ rallied 191.33 points or 0.81 percent to 23,671.35, also reaching record territory. The S&P 500 added 44.82 points or 0.65 percent to close at 6,966.28, marking another record finish.

Weekly performance reinforced the positive trend, with the Dow surging 2.3 percent, the NASDAQ jumping 1.9 percent, and the S&P climbing 1.6 percent for the week. This strength set the tone for Asian bourses, with expectations that Singapore and other regional markets would follow suit.

**Employment Data Fuels Rate Cut Optimism**

The catalyst for Wall Street's rally came from the Labor Department's December employment report. The data showed employment growth that came in below expectations, shifting investor focus toward interest rate prospects. While the Federal Reserve is widely expected to maintain its current rate stance at its upcoming meeting later this month, the softer employment figures have bolstered confidence in potential rate cuts down the line, supporting investor appetite for equities.

**Oil Markets Reflect Supply Dynamics**

Energy markets also showed strength on Friday. West Texas Intermediate crude for February delivery surged $1.58 or 2.74 percent to $59.34 per barrel. The rally reflected a combination of factors including near-term supply concerns driven by geopolitical tensions, a decline in U.S. inventory levels, and OPEC's decision to pause increases in oil output.

**Looking Ahead**

The positive close on Friday suggests momentum could extend into Monday's session. With improved interest rate outlook and supportive Wall Street performance, the STI appears positioned to open higher. Investors will be monitoring global economic data and geopolitical developments as they continue to assess the sustainability of the current rally in regional and global equity markets.