The STI is down 0.1% at 3,144.44, drifting into negative territory as what little buying interest was holding up the index in the morning seems to have dried up.

Market volume is a mere shadow of yesterday’s, at 670 million shares, worth a paltry $777 million; 225 decliners outweigh 130 gainers.

Phillips Securities says the potential head & shoulders pattern on the STI is starting to form with yesterday’s 0.9% decline, “nonetheless we remain secular positive on the STI with a 2011 target of 3650 based on 8.0% earnings growth and mid-cycle P/E expansion.”

SIA (C6L.SG) is off 2.1% at $15.14 on disappointing November passenger traffic growth; SembCorp Marine (S51.SG) is up 0.6% at $5.04, Xinren Aluminum (MN5.SG) rises 5.5% to $0.480. Tuan Sing (T24.SG) rises 4.3% to $0.245 on its Serene House tender win. 3,118-3,218 band is tipped for the STI.