Daily Markets Briefing: STI up 1.7%

Don't expect strong gains today.

According to OCBC, the muted closing on Wall Street last Friday could impart a sense of caution to the local bourse this morning, reining in further strong gains, especially after the STI’s 1.7% surge on Friday.

Here's more from OCBC:

Even though the index is expected to re-test and clear the initial 2650 hurdle, the index’s ability to test and sustain itself convincingly above the key 2700 level will be watched keenly; failure to do could again send the index slipping back towards 2600.

And with the earnings season drawing to a close, there could be a lack of corporate developments to drive prices higher; and the next key event would be the upcoming FY16 Budget due 24 Mar.

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