--- title: "SG Morning Brief｜STI Steady as Hawkish Fed Slams US Stocks" type: "News" locale: "en" url: "https://longbridge.com/en/news/299246321.md" description: "Singapore's STI closed flat at 5,635.41 before the Fed's first rate hike in three years, which sent the Dow down 631 points and gold sliding. Banks held steady; Carnival reports and US housing data land today." datetime: "2026-09-17T00:05:09.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/299246321.md) - [en](https://longbridge.com/en/news/299246321.md) - [zh-HK](https://longbridge.com/zh-HK/news/299246321.md) generator: "portal-rs" --- # SG Morning Brief｜STI Steady as Hawkish Fed Slams US Stocks **STI:** closed at 5,635.41, down 3.23 points (-0.06%) on Wednesday — before the Federal Reserve's decision landed after Singapore's close. **Banks:** $DBS (D05.SG)$ +S$0.05 to S$76.80; $OCBC (O39.SG)$ +S$0.18 to S$31.18; $UOB (U11.SG)$ -S$0.12 to S$41.21. **Overnight:** the Fed hiked 25bp to 3.75%-4.00% and signalled more to come; the Dow dropped 631 points (-1.2%). **Today:** Carnival reports pre-market and US housing data arrives at 8.30pm SGT. ## Singapore Open The Straits Times Index closed essentially flat on Wednesday, slipping 3.23 points (-0.06%) to 5,635.41 — a session that ended before the Fed's 2am SGT decision, making this morning's open the first chance to price in the hawkish surprise. The index sits about 2.9% below its September 4 record close of 5,801.96. Banks were steady rather than defensive: $DBS (D05.SG)$ added S$0.05 to S$76.80, $OCBC (O39.SG)$ rose S$0.18 to S$31.18 and $UOB (U11.SG)$ slipped S$0.12 to S$41.21, while $SGX (S68.SG)$ eased S$0.15 to S$22.38. A structural positive is coming: from October 5, SGX cuts the minimum board-lot size to 10 shares, sharply reducing the cash needed to own the banks. REITs need watching this morning — a 5% US 10-year yield raises their funding costs. ## Singapore Macro The local growth story stays strong even as global rates bite. MAS's September survey of professional forecasters lifted the 2026 GDP call to 5.0% (from 3.5% in June), after MTI raised its own range to 4.5%-5.5%; core inflation is seen landing around 1.5%-2.4%. In July, MAS — which tightened policy in April 2026 — flagged renewed energy-price spikes as the main upside risk to inflation. For SGX investors the transmission is clear: a hawkish Fed lifts the dollar and keeps the 10-year near 5%, arguing for a firmer SGD NEER to curb imported inflation — a tailwind for bank net interest margins, but a squeeze on REIT financing costs and exporters. ## US Overnight The Federal Reserve delivered its first rate hike since July 2023, lifting the target range 25bp to 3.75%-4.00% in a unanimous vote. Chair Kevin Warsh declined to give forward guidance while the dot plot pointed to another hike this year, and the 10-year Treasury yield climbed back to about 5%. Stocks reversed late: the S&P 500 fell 0.45% to 7,551.81, the Dow dropped 631 points (-1.2%) and the Nasdaq was little changed. August retail sales, up 1.2% month-on-month versus a 0.8% consensus, had already strengthened the case for tightening. **$Generac (GNRC.US)$ surged more than 37% after hours** — the backup-power maker unveiled an $8 billion deal to supply data-centre standby generators to $Amazon (AMZN.US)$, with $2.4 billion in initial deliveries across 2027-2028; Amazon also received a warrant to buy up to 1.69 million shares at about $200.93. Gold whipsawed, rallying toward $4,365 an ounce intraday before the hawkish Fed knocked it down roughly 1.4% to around $4,262. ## Asia Pre-Market US futures were little changed in early Thursday Asian trade — S&P 500 futures +0.03% at 7,557.50, Nasdaq 100 futures +0.04% and Dow futures flat — suggesting the post-Fed selling has paused. WTI slipped 1.8% to about $103.6 a barrel and Brent 1.1% to $107.25, still solidly above $100 on Middle East supply risks; gold hovered near $4,262 and Bitcoin traded around $75,000-76,000, near a four-week low. For SGX, the rate signal matters more than the equity tape: a 5% US 10-year yield and firmer dollar keep pressure on REITs while supporting bank margins. ## Today's US Earnings and Economic Calendar It is a light week for earnings, with the macro calendar doing most of the work. | Company | Timing | Consensus EPS | | ------------------------- | -------------------- | ------------- | | Carnival (CCL.US) | Thu 17 Sep, pre-mkt | \~$1.29 | | Lennar (LEN.US) | Wed 16 Sep, post-mkt | $1.32 | | Dave & Buster's (PLAY.US) | Mon 14 Sep, post-mkt | $0.18 | **Carnival (CCL.US)** is the spotlight, reporting before the US open on Thursday (Thursday evening Singapore time). Consensus looks for EPS around $1.29, though revenue estimates are not widely published. Fuel is the swing factor: with Brent near $107, Carnival has described elevated crude as a roughly $500 million annual headwind. | SGT | ET | Event | Consensus | | ------- | ------- | ---------------------------- | --------- | | 8:30pm | 8:30am | Weekly jobless claims | 207K | | 8:30pm | 8:30am | Housing starts (Aug) | 1.30M | | 8:30pm | 8:30am | Philadelphia Fed index (Sep) | 34 | | 10:00pm | 10:00am | Pending home sales (Aug) | +0.5% m/m | ## One More Thing The framework for today: separate a rate shock from a growth shock. The Fed is hiking because demand is running hot — retail sales beat and Singapore's GDP forecast was just upgraded to 5% — not because credit is breaking. That split flows straight into SGX: banks can absorb higher-for-longer rates, while REITs and yield-sensitive names carry the cost. Watch whether the three banks hold their levels into the open — if they do, capital is rotating into Singapore's quality yield rather than leaving the market. *Sources: MAS Monetary Policy Statement (July 2026) and MAS Survey of Professional Forecasters; Yahoo Finance (STI close); AP and Federal Reserve (rate decision).* *This briefing is for informational purposes only and does not constitute investment advice.* ### Related Stocks - [CUK.US](https://longbridge.com/en/quote/CUK.US.md) - [CCL.US](https://longbridge.com/en/quote/CCL.US.md) - [GLL.US](https://longbridge.com/en/quote/GLL.US.md) - [.DJI.US](https://longbridge.com/en/quote/.DJI.US.md) - [DIA.US](https://longbridge.com/en/quote/DIA.US.md) - [GLDW.US](https://longbridge.com/en/quote/GLDW.US.md) - [UGL.US](https://longbridge.com/en/quote/UGL.US.md) - [CCL.UK](https://longbridge.com/en/quote/CCL.UK.md) - [STI.SG](https://longbridge.com/en/quote/STI.SG.md) - [IAU.US](https://longbridge.com/en/quote/IAU.US.md) - [SGOL.US](https://longbridge.com/en/quote/SGOL.US.md) - [UUP.US](https://longbridge.com/en/quote/UUP.US.md) - [GLD.US](https://longbridge.com/en/quote/GLD.US.md) - [DDM.US](https://longbridge.com/en/quote/DDM.US.md) - [UDOW.US](https://longbridge.com/en/quote/UDOW.US.md) - [DOG.US](https://longbridge.com/en/quote/DOG.US.md) - [SDOW.US](https://longbridge.com/en/quote/SDOW.US.md) - [DXD.US](https://longbridge.com/en/quote/DXD.US.md) - [D05.SG](https://longbridge.com/en/quote/D05.SG.md) - [O39.SG](https://longbridge.com/en/quote/O39.SG.md) - [U11.SG](https://longbridge.com/en/quote/U11.SG.md) - [S68.SG](https://longbridge.com/en/quote/S68.SG.md) - [GNRC.US](https://longbridge.com/en/quote/GNRC.US.md) - [AMZN.US](https://longbridge.com/en/quote/AMZN.US.md) - [LEN.US](https://longbridge.com/en/quote/LEN.US.md) - [PLAY.US](https://longbridge.com/en/quote/PLAY.US.md) - [.SPX.US](https://longbridge.com/en/quote/.SPX.US.md) - [.IXIC.US](https://longbridge.com/en/quote/.IXIC.US.md) - [.NDX.US](https://longbridge.com/en/quote/.NDX.US.md) - [UOVEY.US](https://longbridge.com/en/quote/UOVEY.US.md) - [LEN.B.US](https://longbridge.com/en/quote/LEN.B.US.md) ## Related News & Research - [Why Is Carnival Stock Down 26% This Year?](https://longbridge.com/en/news/299077880.md) - [CCL stock traders stare at sixth red week: Analysts predict weak outlook on high fuel prices ahead of Q3 earnings](https://longbridge.com/en/news/299270736.md) - [Carnival (NYSE:CCL) Upgraded at TD Cowen](https://longbridge.com/en/news/298717168.md) - [AS SEABOURN'S 2026 ALASKA SEASON DRAWS TO A CLOSE, THE LINE LOOKS AHEAD TO 2027 | CCL Stock News](https://longbridge.com/en/news/299333358.md) - [YA ESTÁN ABIERTAS LAS RESERVAS PARA EL CARNIVAL TROPICALE, QUE ZARPARÁ DESDE GALVESTON EN 2028](https://longbridge.com/en/news/298761532.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**