(RTTNews) - The Singapore stock market has finished higher in two straight sessions, gathering almost 40 points or 0.7 percent along the way. The Straits Times Index now sits just beneath the 5,750-point plateau and it may extend its gains again on Friday.
The global forecast for the Asian markets is upbeat on an improved outlook for interest rates. The European and U.S. markets were up and the Asian bourses are expected to open in similar fashion.
The STI finished slightly higher again on Thursday following gains from the banks, weakness from the trusts and a mixed performance from the properties and industrials.
For the day, the index perked 3.60 points or 0.06 percent to finish at 5,747.71 after trading between 5,733.90 and 5,782.96.
The lead from Wall Street is solid as the major averages opened higher on Thursday and spent the whole day in the green, ending near session highs.
The Dow jumped 624.16 points or 1.18 percent to finish at 53,686.11, while the NASDAQ rallied 366.23 points or 1.40 percent to close at 26,584.06 and the S&P 500 climbed 81.11 points or 1.06 percent to end at 7,747.71.
The rally on Wall Street reflected easing concerns about the outlook for interest rates, as CME Group's FedWatch Tool showed a notable decrease in the likelihood of a rate hike later this month.
The drop came after Federal Reserve Governor Christopher Waller remarked that he is leaning towards keeping rates steady at the upcoming meeting; those remarks contributed to a pullback by treasury yields, which also benefited stocks.
Traders were also looking ahead to the closely watched monthly employment report for August due later today, which could have a significant impact on the outlook for interest rates.
Crude oil prices ticked higher on Thursday on hopes that the new wave of U.S. strikes on Iran will be limited. West Texas Intermediate crude for October delivery was up $0.24 or 0.26 percent at $91.26 per barrel.
Closer to home, Singapore will see July figures for retail sales later today; in June, sales were up 1.0 percent on month and 4.0 percent on year.