Singapore share prices closed 1.07 percent higher on Monday as investors encouraged by easing oil prices bought into property stocks, dealers said. They said the interest in property firms had been sparked by anticipation of the government's launching of bids to develop two integrated casino resorts.
The Straits Times Index advanced 24.54 points to 2,317.58.
Volume was 1.005 billion shares valued at 923 million Singapore dollars (549 million US), up from 947 million shares worth 701 million Singapore dollars on Friday.
Gainers beat losers 340 to 186 with 953 stocks were unchanged.
The government, which earlier planned to hold the bidding for the casino projects by the end of September, announced after the market had closed that it would be delayed.
Bidding for the Marina Bay site will now be held at the end of November and for the Sentosa site in the first quarter of 2006.
Oil prices remained under 64 US a barrel in Asian trade after falling sharply in New York on Friday and during an extraordinary session on Sunday, as fears about the impact on oil facilities from Hurricane Rita proved unfounded.
In a client note, UBS Securities said even with prices above 60 US dollars a barrel for a sustained period, the impact on the Singapore economy would be limited.
"For Singapore, a meaningful drag on earnings is confined largely to the transport sector. The larger issue is heightened risks to global growth and the inflation outlook, which remains difficult to quantify at this juncture," UBS said.
Among property stocks, CapitaLand rose 10 cents to 3.20. Dealers said some investors are positioning in property firms seen as likely beneficiaries of the upcoming bidding for two casino projects.
CapitaLand is bidding for the Sentosa Island site with Kerzner International and for the Marina Bay site with MGM Mirage.
Other companies in the running for the integrated resort projects, include Keppel Land, which has tied up with Harrahs Entertainment to bid for both the Marina Bay and Sentosa sites.
Keppel Land rose 10 cents to 3.72; City Developments gained 15 cents to 9.20, Singapore Land advanced five cents to 5.45, and Allgreen went up three cents to 1.31.
Among banks, United Overseas Bank was flat at 14.20. Oversea-Chinese Banking Corp rose 10 cents to 6.25 while DBS jumped 20 cents to 16.0.
Blue chips were mostly higher. Singapore Telecommunications rose three cents to 2.48, Singapore Press Holdings added two cents to 4.66, ST Engineering gained six cents to 2.56 while Singapore Airlines advanced 10 cents to 11.8.