Singapore stocks gained for a second day on Friday, led by financials while positive Asian sentiment also supported risk appetite.
Asian stocks rose after optimism over U.S. tax reform plans lifted Wall Street shares to new highs.
MSCI's broadest index of Asia-Pacific shares outside Japan gained 0.3 percent, poised for a 1.6 percent gain on the week.
The S&P 500 posted its sixth straight record high close on Thursday, its longest run since 1997, as investors cheered increased prospects for a tax overhaul with Congress moving closer to agreement on a budget resolution, Reuters reported.
At 0500 GMT, the Straits Times Index advanced 0.46 percent or 15 points to 3,276. It ended 0.78 percent higher on Thursday, taking the year-to-date performance to about 13 percent.
United Overseas Bank gained 0.8 percent, Overseas-Chinese Banking Corp gained 0.4 percent and DBS Group Holdings added 0.5 percent each.
United Food Holdings, a producer and supplier of soybean products, gained 1.4 percent after saying it would buy 80 percent stakes in each of three animal feed-related companies in China for 120 million yuan (S$24.5 million).
Singapore Airlines has commenced a three-year turnaround plan to review work processes and operations companywide, Straits Times reported on Friday. Shares of the airline rose 0.2 percent.
Builder Soilbuild Construction said it won a S$50 million contract by SB (Waterfront) Investment to erect a 7-storey single user general industrial factory development. However, shares fell about 3 percent.
About 1.3 billion shares worth S$724 million changed hands, with gainers outnumbering losers 231 to 149.
