07 Feb '11, 1pm

Overall market sentiment optimistic for Year of the Rabbit

SINGAPORE : On the first day of trading after the Lunar New Year holidays, the Straits Times Index closed 18.94 points lower to end at 3,192.18. However, overall market sentiment is optimistic for the Year of the Rabbit. Analysts said the Straits Times Index may hit a high of at least 3,600 points this year. Some market watchers are even holding out for 4,000 - a gain of 25 per cent from the current levels. Meanwhile, other analysts caution that the market might hit an air pocket towards the end of the year or early next year. While moderating from last year's record growth, Singapore's economy is still expected to turn in a strong performance this year. Service industries, especially the two integrated resorts, are expected to do well. Healthy growth is also anticipated in the high-tech sector. Analysts said Singapore will benefit from continued strong growth in China, wh...

Full article: http://www.channelnewsasia.com/stories/singaporebusinessn...

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