Singapore stocks ended higher this week. The benchmark Straits Times Index (STI) gained 4.29 per cent or 35.41 points to finish at 5,469.29.
In terms of individual stocks,$UOB Kay Hian(U10.SI)$ surged nearly 13%; $UOB(U11.SI)$, $PanUnited(P52.SI)$ soared over 10%; $OCBC(O39.SI)$ gained 8%; $DBS(D05.SI)$ climbed over 5%.
Market News
Singapore Banks Hit Record Highs on Improved Sentiment and Earnings Outlook
Local lenders hit new highs this week., $DBS(D05.SI)$ gained 5.5% to S$70.45, $OCBC(O39.SI)$ rose 8.4% to S$27.43, and $UOB(U11.SI)$ was up 10.29% at S$44.4.
Macquarie turned more bullish on the sector and upgraded its stock rating for $DBS(D05.SI)$ and $UOB(U11.SI)$ to outperform from neutral, raising its target price for DBS to S$70.86 from S$52.38, and for UOB to S$45.16 from S$36.78.
It retained an outperform rating on OCBC and lifted its target price to S$27.76 from S$24.25.
"We see further re-rating potential, supported by an improved sector outlook in which net interest income and non-interest income can grow in tandem," while the Singapore dollar remains a preferred currency amid broad U.S. dollar strength, said Jayden Vantarakis, head of Asean equity research at Macquarie Capital, in a note.
Citi on Tuesday lifted its target prices on all three banks as it expects better earnings growth in 2027 and 2028 on a recovery in loans growth.
New MAS Proposal Could Pave Way for Commodity Futures Funds
Retail investors in Singapore could gain access to futures-based single-commodity funds and a wider range of single-country government bond funds, with the Monetary Authority of Singapore (MAS) on Thursday (Jul 9) outlining a proposal for a more flexible framework to bring innovative fund products to market faster.
This comes as investor sophistication grows in the Republic and investor needs continue to evolve, noted MAS. The authority said that it has received interest from the industry to offer new retail fund product types that cater to a broader range of investment objectives.
Singapore Central Bank Looking to Introduce Protected Cell Company Corporate Structure
The Monetary Authority of Singapore has unveiled proposals for a protected cell company (PCC) framework designed to lower the cost and complexity of establishing captive insurance, insurance-linked securities and sovereign risk pool structures.
The proposals aim to support the growth of alternative risk transfer solutions and enhance Singapore's role as a risk management hub, MAS said in a press release on Tuesday.
Singapore Tells Developers to Keep Checks to High-Risk Buyers
Singapore’s housing regulator told property developers they should reserve enhanced anti-money laundering checks for higher-risk home buyers, clarifying that most purchasers don’t require additional scrutiny such as source-of-wealth and source-of-funds checks.
Real estate firms should take a “risk-proportionate” approach to customer due diligence, the Urban Redevelopment Authority said in a circular issued Tuesday. Standard measures like identity verification and screening are fine for most buyers, while enhanced checks are required only for those purchasers assessed to pose a higher risk of money laundering, terrorism financing or proliferation financing.
$(STI.SI)$ $(U11.SI)$ $(D05.SI)$ $(O39.SI)$ $(U10.SI)$ $(P52.SI)$ $(AVP.SI)$ $(EB5.SI)$ $(8YZ.SI)$ $(E28.SI)$ $SS SPDR STI ETF(ES3.SI)$ $Amova STI ETF S$D(G3B.SI)$ $Amova STI ETF S$A(GAB.SI)$
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