UOL

Short term STI likely to perform better. Singapore banks are strong and resilient.If fed hold and hike rates. Singapore banks will likely to benefit from it as loan interest income increases along with wealth management fees.

Furthermore, today business times also covered established brokerage firm lifting STI targets into Q4 as earnings growth expected:

1. Maybank STI ➡️6800

2. UOB Kay Hian STI ➡️ 6682

3. DBS bank STI ➡️ 6110

4. Macquarie Group STI ➡️ 6000

How do you see ? I am confident with Singapore economy.

US July PPI rose 4.7% year-over-year, falling below market expectations and slowing from June's 5.5%, while Core PPI declined to 4.2%. Combined with softening CPI data, the reports indicate cooling production-side and consumer inflationary pressures, largely driven by dropping energy and food prices. This lower than expected inflation data relieved market concerns regarding reaccelerating inflation and reduced near term Fed rate hike pressures.

The CPI came in as expected and some say milder. So that is a good thing for inflation I guess. The markets had a good lift out of it.

Hahaha My local semiconductor-related stocks are up again. The AI infrastructure story is real but the market is made up of investors who vacillate and those out for quick profits. Long term investors should do thorough research so that they can have the conviction.

sg banks stocks are having a little pullback, but nothing major yet. little is going on with the war in the middle east, yet oil prices are moving around from baseless sentiments.

Well inflation turns out benign after all and puts less pressure on the Fed to hike. Honestly don’t care much about the yields and don’t think the US will sacrifice the stock market for that. If need to, they will do yield curve control. IMHO, they are going to devalue the dollar.

Seen to me that the renewed appetite for the US AI trade canibalises the SG stocks that are roped for picking, e.g. the banks stocks.

The market has been hesitant to break 8000 while it has shown signs of weakness and dipping to pullback mode. Expect big moves soon so take caution when investing. DCA if you really like to get into the stocks long term(5-10 years). Do not go all in when the market is uncertain yet greedy.

The Chinese tech basket is generally undervalued as compared with their US counterparts. For those who can stomach the constant sell down of Chinese tech, there is a chance of enjoying the fruit when they gets the hot money when market is risk-on.