Morning Star: Singapore Exchange expected to benefit from market volatility.

Morningstar's Roy Van Keulen stated in a report that due to the large scale of derivative trading activities, the Singapore Exchange is increasingly seen as a beneficiary of global uncertainty and market volatility. The analyst noted that monthly statistical data from the stock market operator showed double-digit growth in trading activity, with growth in foreign exchange and metal derivatives trading partially driven by conflicts in the Middle East. Even though current market volatility has eased somewhat, profitability and trading volume at the Singapore Exchange are expected to continue to be supported by global high volatility. Morningstar raised its fair value estimate by 5.0% to 16.80 Singapore dollars, but stated that the stock is severely overvalued. The stock rose 4.2% to 23.52 Singapore dollars.