Singapore shares declined following three straight sessions of gains on Wednesday, dragged by lenders such as DBS Group while weak Asian equities also dampened sentiment.
Asian shares scaled back from record highs, hurt by weak crude and commodity prices.
MSCI's broadest index of Asia-Pacific shares outside Japan dropped 0.15 percent from its record high as resource shares declined after oil and other commodities succumbed to profit-taking after recent gains, Reuters reported.
Investors are keeping an eye on China's yuan, which is trading at the strongest level in more than two years. Speculation is going on about possible steps to cool its gains.
At 0550 GMT, the Straits Times Index was down 0.21 percent or 8 points to 3,542. It ended 0.39 percent higher on Tuesday.
Trading was also lackluster after Singapore's non-oil domestic exports slowed more-than-expected in December, hurt by drop in electronic shipments.
Among the lenders, Oversea-Chinese Banking Corp dropped 0.5 percent, United Overseas Bank shed 0.4 percent while DBS Group Holdings dropped 0.3 percent.
Active stocks included, CWX Global falling 10 percent to S$0.01 while Imperium Crown gained 6 percent to S0.07 in afternoon trades.
Property developer City Developments shed 0.3 percent after saying the offer to privatise London-listed Millennium & Copthorne Hotels (M&C) will not be extended beyond January 26.
About 1 billion shares worth S$662 million changed hands, with losers outnumbering gainers 216 to 159.