Hopes for more measures by Fed to help shore up sluggish US economy may lift Singapore shares after they drive up US stocks overnight, although any gains likely to be modest pending any concrete initiatives, says Dow Jones.

Resistance for STI, down 0.5% at 3,097.35 yesterday, expected at year-to-date high of 3,125, while last week's 3,069 low tipped as support.

"There's no strong lead from Wall Street. But with tomorrow being the end of the quarter, there might be some buying on dips to dress up portfolios," says trader at local brokerage.

ST Engineering (S63.SG) may be in focus as company secures contract to procure jets, ground-based training system worth combined $543 million for Singapore's Air Force; shares down 0.6% at $3.31 yesterday.