Singapore shares tracked overnight weakness on Wall Street to end lower Friday as investors continued to worry about the health of the global economy, and traders said they expect the outlook to remain cautious as growth slows down.

The benchmark Straits Times Index fell 10.29 points, or 0.3%, to 2,936.48, with losers overtaking gainers 263 to 133. In the broader market, 1.29 billion shares changed hands compared with 1.94 billion Thursday. For the week, the STI has shed 2%.

“Moderating earnings and GDP (gross domestic product) growth in second half of 2010 are likely to overhang markets (in the) near term,” Deutsche Bank said in its note.

“Earnings visibility (for Singapore companies) remains low in the face of rising risk in the external environment,” DBS Vickers said in its note.

Most of the 30-STI components were in the red as investors were worried about the earnings outlook for companies amid a possible moderating local economy in the second half.

Companies sensitive to the economy such as commodity firms and rig builders fell the most. Among commodity players Olam International lost 2% to $2.50, while Noble Group shed 1.2% to $1.63. Golden Agri Resources was down 1.8% at $0.555.

Worries that a slowing economy will hurt demand for new rigs and ships saw Sembcorp Industries slide 1.9% to $4.16, while Keppel Corp. lost 0.6% to $8.75.

Other notable decliners on the STI included Neptune Orient Lines, which fell 1.5% to $1.93 on worries that a slowing global economy will hurt demand for goods and affect the container shipper’s revenue.

Genting Singapore lost 2% to $1.50 in line with the broad market weakness.

CapitaLand, however, ended flat at $4.05. Earlier in the day, the company announced it will sell its 28 serviced residence properties held by its unit Ascott to Ascott Real Estate Investment Trust for $969.6 million.