Declining Oil Prices affecting Straits Times Index

Straits Times Index faced one of the strongest drops last week as global market reacted strongly to the falling oil prices. Monday is the day where STI crashed from 3350 level to 3305 level within a day. Offshores and commodities counters got a hit on that day while banks were also being dragged along. Luckily, the bearish action did not continue the next day as STI managed to rebound and stayed above 3305 level. However, it also met resistance at 3330 level which STI failed to break on Wednesday too. The exchange faced another disruption on Wednesday as it faced backend IT issues. Hence, the market was closed for the morning session. There wasn’t much of a bearish reaction on Wednesday but STI continue to hold on its support at 3305 level. This support was tested for the next few days till Friday. ...