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Three Shares That Lost To The Market Today

3There is still no end in sight to the political deadlock in the USA where the government remains in shutdown. In addition, there is a looming debt-ceiling in which the USA might have to default on its debts if the government fails to increase the borrowing limit.

A debt-default by the United States will likely bring about lasting and severe consequences for the global economy. So, nobody really wants to see that happen.

But if you thought stock markets around the world would start panicking, you’re wrong. At the time of writing, the FTSE 100 Index in the UK is down by only 0.5%, the Nikkei 225 in Japan is up 0.2%, and the Hang Seng Index in Hong Kong has slipped by a mere 0.5%.

Our local stock market benchmark, the Straits Times Index (SGX: ^STI), is up 10% to 3,169 points. Somehow, there is just no sign of overwhelming fear of a US default affecting financial markets around the world.

Within the STI’s 30 constituents, there were 11 losers and 17 winners with most of the action taking place outside.

Chasen Holdings Limited (SGX: 5NV) dropped 54% to S$0.135. The company is involved in a range of business activities such as providing third party logistics, technical and engineering services in a number of countries that include Singapore, Malaysia, and China.

Before the market opened this morning, Chasen announced that its various subsidiaries had won S$7.1m worth of new contracts in the Middle East and Singapore. The announcement somehow failed to inspire as Chasen opened at S$0.32, down 8.5% from its previous close at S$0.35.

The shares continued to fall during the day and prompted the Singapore Exchange to issue a query regarding the unusual price movement.

RH PetroGas Limited (SGX: T13) fell 21% to S$0.64. The company, which is engaged in the exploration, development and production of oil & gas resources, gave some updates about its exploration programme in Kepala Burung, West Papua, Indonesia.

The company has commenced drilling in its Klagalo-1 exploration well. Francis Chang, Vice President of Exploration and Production of RH Petrogas, commented that “the Klagalo-1 is testing a huge prospect and if successful, will open up new fairway for the Kais limestone reservoir.”

The market didn’t seem to take the announcement too well as RH Petrogas’ shares fell steadily throughout the day.

TA Corporation Limited (SGX: PA3) declined 3.9% to S$0.37. The property and construction company recently announced that it had won two contracts worth a total of S$77.3m.

One is a S$60m contract related to a proposed condominium development at Marine Parade Group while the other is worth S$17m and is for a mixed landed housing development at Whitley Road.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Chong Ser Jing doesn’t own shares in any companies mentioned.