Singapore stocks trader
A share market trader in Singapore Reuters

Singapore shares fell more than 1 percent on Friday, as mounting tensions between the United States and North Korea unnerved investors.

Global risk appetite faltered amidst increasing geopolitical worries regarding North Korea, resulting in investors piling onto havens such as U.S. Treasuries, gold and the yen.

U.S. President Donald Trump stepped up his campaign of pressure, warning the North Korea regime not to follow through with a missile test near Guam and promising massive response to any strike against America or its allies.

Trump's second warning has shaken markets that have been largely resilient this year.

The Straits Times Index fell 1.31 percent or 44 points to 3,279. It ended 0.16 percent higher on Thursday, taking the year-to-date gains to about 15 percent.

Financials and industrials dragged the index lower, with DBS Group Holdings falling as much as 2.8 percent and Jardine Matheson Holdings sliding as much as 1.4 percent.

Singapore-based agribusiness giant Wilmar International slumped 6 percent despite swing to a second-quarter profit.

Property developer City Developments lost 4.1 percent after its net profit fell nearly 18 percent on year and said its Chief Executive Officer Grant Lewis Kelley has resigned.

Singapore Technologies Engineering declined 3.4 percent after it reported a 12 percent decline in the second-quarter net profit.

Among the gainers, shares of debt-laden commodities trader Noble Group surged as much as 20 percent after its second quarter earnings showed no fresh causes for concern about the company.

Singapore Telecommunications was unchanged after posting a 6 percent drop in first-quarter profit, hurt by lower contributions from its Indian associate and exceptional charges at Australian unit Optus.

About 2.7 billion shares worth S$1.5 billion changed hands, with losers outnumbering gainers 344 to 129.