Market Snapshot
Singapore stocks opened lower on Thursday. STI fell 1%; DBS, UOB dropped around 2%; OCBC Bank down over 1%; Capland IntCom T, YZJ Shipbldg up over 1%.
Stocks in Focus
$SIA(C6L.SI)$: Singapore Airlines and Air India will offer standalone code-share flights and “enhanced” frequent-flyer benefits, giving passengers “greater flexibility” in trip planning with 126 weekly flights, the two carriers announced on Wednesday. The expanded offerings cover flights between Singapore and eight Indian cities: Ahmedabad, Bengaluru, Chennai, Delhi, Hyderabad, Kochi, Kolkata and Mumbai.
$CapitaLand Investment(9CI.SI)$: CapitaLand Investment and IOI Properties Group are now in exclusive due diligence for the acquisition of One Raffles Place, with a 50-50 joint bid submitted to owners OUE Reit and UOB, IOI Properties Group CEO Lee Yeow Seng told The Business Times on Wednesday. The offer was made about three months ago.
SG Local News
Singapore's Bond Market Remains Robust on Solid Fiscal Fundamentals
Chee Hong Tat, deputy chairman of the Monetary Authority of Singapore (MAS), stated on Wednesday (Oct 7) that while an increase in US interest rates would impact Singapore's borrowing costs, the city-state's strong fiscal fundamentals will continue to underpin healthy demand for Singapore Government Securities (SGS).
Speaking in Parliament in response to a question regarding how sustained rises in US Treasury yields would affect Singapore, he noted that the government is "closely monitoring" developments in the US and other major markets, as these will influence borrowing costs and interest rates in the city-state.
“But because of our strong fiscal position and the trust and confidence that investors have in Singapore’s market, in our bond market, I think overall we are all right.”
October COE Prices Stay High Despite Sluggish Sales
Even though quieter market conditions led to a decline in sales, Certificate of Entitlement (COE) premiums stayed elevated during the first bidding round of October, which concluded on Wednesday (Oct 7).
Industry observers attributed the slowdown to buyers waiting for a major car show, The Car Expo, taking place in late October, but premiums did not drop significantly because dealers still required certificates to fulfill their orders.
Ng Choon Wee, commercial director for Hyundai distributor Komoco Motors, said: "In the current climate, even a lull period like the past fortnight won't bring major price drops. Market leaders will still need to bid aggressively to acquire COEs for registrations, and that keeps premiums up."
Singapore Sees Region Thriving Amid ‘Breakdown’ of World Order
Singapore’s top diplomat touted what he called “a moment of great potential” for Southeast Asia, as economies expand rapidly on surging technology demand even as much of the world faces growing uncertainties.
Speaking during a conference on Wednesday, Minister for Foreign Affairs Vivian Balakrishnan said semiconductors and AI were major drivers helping the region’s economies outperform expectations.
Asia’s powerhouse economies have seized the lion’s share of trade growth in the global AI boom, because they make the chips and other equipment needed for data centers springing up around the globe. The World Bank cites several Asian economies that have outpaced expectations on high-tech exports, with Vietnam expected to grow 7.4% in 2026, Indonesia 5.2% and Malaysia 5.1%.
Comments