Singapore shares eased, headed for their biggest monthly drop in
more than a year, led by sharp falls in Thai Beverage PCL
and Olam International Ltd.
The benchmark Straits Times Index eased 0.1 percent
to 3,034 points, on course for a nearly 2 percent weekly drop in
its fourth straight week in the red.
The index fell nearly 6 percent so far in August, faring
better than peers in Indonesia, Philippines and
Thailand but underperforming Malaysia.
Olam shares fell as much as 2.7 percent to an eight-month
low of S$1.42, down for the ninth session in 10, after the
company reported a 48 percent decline in quarterly net profit on
higher tax charges and challenging market conditions.
Citi maintained its 'buy' call on Olam, and pinned the
target price at S$2.60, though chose Wilmar International Ltd
as its top pick in the sector.
"(For Olam) we do think the assets are there, and it will
take time for the assets to turn around. The reason we are
positive is that when the assets get ready, it will generate a
return," Citi analyst Patrick Yau said.
ThaiBev shares fell more than 7 percent after soaring nearly
24 percent in the previous session.