SINGAPORE - Singapore shares rose 1.21 per cent Wednesday on bargain hunting, analysts said.
The blue-chip Straits Times Index closed up 32.83 points to 2,740.43 on volume of 1.14 billion shares worth 1.40 billion Singapore dollars (1.01 billion US).
Gainers led losers 341 to 146, with 758 issues unchanged.
The market was buoyed by optimism towards Singapore's growth prospects for 2010, analysts said.
"The market is not a screaming buy, but given almost assured growth next year, valuations are not expensive so we could see it push a little higher," said a local house dealer.
Singapore's former prime minister Lee Kuan Yew on Sunday forecast the city-state's economy to grow by around three percent next year, the first time a government official has publicly put a number on 2010 growth.
Banking shares closed higher. DBS Group gained 20 cents to 14.14, Oversea-Chinese Banking Corp climbed 18 cents to 8.15 and United Overseas Bank closed up 28 cents to 18.68.
Among property shares, CapitaLand edged up six cents to 4.09, City Developments advanced 23 cents to 10.20 and Keppel Land was four cents higher at 2.82.
Singapore Telecommunications gained four cents to 2.98 but Singapore Airlines fell 18 cents to 14.08.
Motor vehicle firm Jardine Cycle and Carriage soared 1.06 dollars to 24.00 and shipping firm Neptune Orient Lines closed three cents higher at 1.61.
- Dow Jones Newswires contributed to this story -