Singapore’s Straits Times Index fell 0.7% to 2,936.83 as of the 12:30 p.m. trading break. Three stocks dropped for each that rose on the 30-member gauge.

 

Shares on the measure trade at an average 14.2 times estimated earnings, compared with about 17.4 times at the beginning of the year, according to Bloomberg data. The following shares were among the most active in the market. 

 

Developers: CapitaLand (CAPL SP) and City Developments (CIT SP) led declines among the city’s homebuilders after Singapore yesterday increased down payments for second mortgages and imposed a stamp duty on property held for less than three years to curb speculation as home prices surged 38% in the second quarter.

 

“The mass-housing segment will be the hardest hit,” said Wilson Liew, an analyst at Kim Eng Holdings. “We’re expecting mass market prices to drop as much as 5% in the next 12 months.”

 

CapitaLand, Southeast Asia’s biggest developer, fell 1.8% to $3.91. City Developments, Singapore’s second- biggest developer, dropped 3.3% to $11.08. The stock was cut to “sell” from “hold” at Deutsche Bank AG.

 

Kim Eng Holdings (KEH SP), a Singapore-based brokerage, slipped 0.6% to $1.66. The company said it has discontinued discussions on possible investment and partnership with Malaysia’s Inter-Pacific Securities Sdn.

Neptune Orient Lines (NOL SP), the container carrier that gets more than half of revenue from the Americas, slid 1.5% to $1.92. A U.S. government report released yesterday showed income growth failed to keep up with the biggest increase in consumer spending since March.

 

Yangzijiang Shipbuilding Holdings (YZJ SP), a China- based shipbuilder, climbed 3.2% to $1.60. The company said it won 28 shipbuilding contracts valued at US$915 million ($1.24 billion) since July.