Singapore shares closed 0.24 percent lower on Wednesday, weighed by disappointing inflation data from China and an overnight fall on Wall Street.
China's June consumer price index came in at 2.3 percent, slightly below market expectations of 2.4 percent, according to the National Bureau of Statistics. The latest inflation data suggests investors will take a cautious approach ahead of trade data that will be released on Thursday and second-quarter growth figures that will come out next week.
Investors expect China's exports likely rose 10 percent in June from a year earlier, picking up from May's 7 percent increase thanks to recovering external demand.
Later on Wednesday, the U.S. Federal Reserve will release minutes of its latest policy meeting, and European Central Bank officials including President Mario Draghi are scheduled to speak.
The benchmark Straits Times Index fell 7.88 points to close at 3,275.46 points. Trading volume was 2.6 billion shares worth 1.07 billion Singapore dollars. Decliners outnumbered advancers 235 to 186, while 518 stocks closed unchanged.
Yoma Strategic Holdings closed flat at 72 Singapore cents. It has entered into an agreement with Mitsubishi Corporation to provide sales support for Bridgestone tires in Myanmar.
SIIC Environment Holdings sank 9.9 percent to 15.4 Singapore cents. It is placing up to 1,000 million shares at the placement price of 15.8 Singapore cents per placement share. The placement shares will represent approximately 10.43 percent of the enlarged issue share capital while the placement price represents a discount of 8.56 percent to the last volume-weighted average price. The estimated net proceeds of about 154.8 million Singapore dollars will be used to finance the SIIC Environment's business expansion, enlarge its general working capital, to repay existing borrowings, and for general corporate purposes.
Among the top gainers, Jardine Cycle and Carriage rose 0.8 percent to 46.80 Singapore dollars, whereas Great Eastern Holdings became one of the top losers by falling 1.3 percent to 22.69 Singapore dollars. (1 U.S. dollar equals to 1.24 Singapore dollars)