SG Market (23 Aug 12)

SG Market: S’pore stocks are likely to drift down in the absence of clear leads from a mixed Wall Street close and as investors wait for further direction from Ben Bernanke’s much awaited speech next week, followed by the FOMC’s policy meeting in Sep. Momentum indicators for the S’pore market are deteriorating with the STI index breaching its 20-day moving average on the downside. China's August HSBC flash manufacturing PMI, due later, is likely to be keenly watched, but expectations for improvement may be priced in. The next support level for the STI lies at 3030, followed by 2985, while firm resistance appears at 3100. Trading opportunities are limited. Among stocks in focus, casino regulators fined Genting Singapore $140,000 for casino-entry rule violations, while Nam Cheong landed US$43.8m contract wins for 3 vessels.