Singapore shares fell by midday on Tuesday as sluggish U.S. manufacturing data weighed on general sentiment, and Singapore-listed Chinese shipbuilder COSCO Corp plunged after it reported weak second-quarter earnings and warned about its outlook.
At 0500 GMT, the Straits Times Index (STI) was down 0.98 percent, or 31.60 points, at 3,183.67. The total volume of shares traded by then was 858.7 million shares and turnover was S$949.7 million.
This compares with a volume of 852.7 million shares and turnover of S$968.5 million on Monday.
Singapore Airlines was 11.6 percent lower at S$12.66 as it went ex-dividend, though the stock may have been hit by several brokers' sell calls or rating downgrades following the carrier's disappointing quarterly result.
Rieve Ko, a technical analyst at SIAS Research, said he expects the STI to trade in the range of 3,180-3,200 points during the second half of the day.
"What's weighing on the market is the (U.S.) ISM number which is very weak. The underlying medium term concern is GDP (gross domestic product) and corporate earnings," said Kevin Scully of NRA Capital.
"If the global economy is weak, then you would expect shipping charter rates to be weak and it will be negative for the companies in that space," he added.
U.S. manufacturing grew at its slowest pace in two years in July as new orders contracted, according to the Institute for Supply Management (ISM) on Monday.
COSCO Corp reported a 53 percent fall in its second quarter net profit, hurt by lower contributions from dry bulk shipping and shipyard operations as well as higher income tax.
It added that the gradual appreciation of the Chinese yuan against the U.S. dollar, increasing interest rates and a potential wage hike in China, as well as greater raw material prices, may weigh on the operating margins of its shipyard operations.
COSCO shares were down 11.5 percent at S$1.50 with 105 million shares changing hands, 7.9 times the average daily volume in the last 30 days. Fellow shipbuilder Yangzijiang dipped over 3 percent.
However, Singapore-listed Chinese drugmaker C&O Pharmaceutical Technology outperformed the broader market, surging as much 8.9 percent on a takeover offer by Japan's Shionogi .
By midday, C&O shares were up 6.7 percent at S$0.48 on a volume of 15.5 million shares, 10.8 times the average daily volume in the last 30 days.
At 0500 GMT, the Straits Times Index (STI) was down 0.98 percent, or 31.60 points, at 3,183.67. The total volume of shares traded by then was 858.7 million shares and turnover was S$949.7 million.
This compares with a volume of 852.7 million shares and turnover of S$968.5 million on Monday.
Singapore Airlines was 11.6 percent lower at S$12.66 as it went ex-dividend, though the stock may have been hit by several brokers' sell calls or rating downgrades following the carrier's disappointing quarterly result.
Rieve Ko, a technical analyst at SIAS Research, said he expects the STI to trade in the range of 3,180-3,200 points during the second half of the day.
"What's weighing on the market is the (U.S.) ISM number which is very weak. The underlying medium term concern is GDP (gross domestic product) and corporate earnings," said Kevin Scully of NRA Capital.
"If the global economy is weak, then you would expect shipping charter rates to be weak and it will be negative for the companies in that space," he added.
COSCO Corp reported a 53 percent fall in its second quarter net profit, hurt by lower contributions from dry bulk shipping and shipyard operations as well as higher income tax.
It added that the gradual appreciation of the Chinese yuan against the U.S. dollar, increasing interest rates and a potential wage hike in China, as well as greater raw material prices, may weigh on the operating margins of its shipyard operations.
COSCO shares were down 11.5 percent at S$1.50 with 105 million shares changing hands, 7.9 times the average daily volume in the last 30 days. Fellow shipbuilder Yangzijiang dipped over 3 percent.
However, Singapore-listed Chinese drugmaker C&O Pharmaceutical Technology outperformed the broader market, surging as much 8.9 percent on a takeover offer by Japan's Shionogi .
By midday, C&O shares were up 6.7 percent at S$0.48 on a volume of 15.5 million shares, 10.8 times the average daily volume in the last 30 days.
