Singapore Stock Market May Take Further Damage On Thursday

(RTTNews) - The Singapore stock market has finished lower in three straight sessions, slumping almost 70 points or 2.7 percent in that span. The Straits Times Index now sits just beneath the 5,730-point plateau and it figures to open in the red again on Thursday.

The global forecast for the Asian markets is negative on surging crude oil prices and the resulting inflation concerns. The European and U.S. markets were firmly in the red and the Asian markets are expected to open in similar fashion.

The STI finished modestly lower on Wednesday as losses from the technology, transportation and communications companies were offset by gains among the utilities and miners.

For the day, the index sank 37.82 points or 0.66 percent to finish at 5,729.63 after trading between 5,706.68 and 5,763.39.

The lead from Wall Street is weak as the major averages opened lower on Wednesday and remained under water throughout the trading day, ending near session lows.

The Dow dropped 405.41 points or 0.77 percent to finish at 52,380.66, while the NASDAQ shed 168.07 points or 0.64 percent to end at 26,253.34 and the S&P 500 fell 37.16 points or 0.48 percent to close at 7,636.36.

The continued weakness on Wall Street came amid an extended surge by the price of crude oil, with international benchmark brent crude futures topping $100 a barrel for the first time since July.

The sharp increase in crude oil prices has led to renewed concerns about the outlook for inflation ahead of the Federal Reserve's monetary policy meeting next week.

Crude oil prices surged on Wednesday as the U.S. and Iran continued to trade attacks, dashing hopes for the reopening of the Strait of Hormuz and renewing inflation concerns. West Texas Intermediate crude for October delivery was up $2.98 or 3.20 percent at $96.01 per barrel.