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Key Takeaways Singapore's manufacturing PMI climbed to 51.3 , its highest level since  2018 , driven by strong AI-related semiconductor demand. Technology funding surged to S$3.78 billion in June , signalling growing investor confidence in Singapore's AI ecosystem. Wall Street's AI rally continued , providing a supportive backdrop for Singapore's technology and manufacturing sectors. AI is expanding beyond chipmaking , with nationwide workforce upskilling initiatives accelerating digital transformation. Singapore is emerging as a key beneficiary of the global AI investment cycle , supported by manufacturing, capital inflows and innovation. Market Insight While much of the world's attention remains on AI giants such as  NVIDIA ,  Microsoft  and  OpenAI , another beneficiary is quietly emerging —  Singapore . Recent economic data suggests the city-state is becoming one of Asia's biggest winners from the global artificial intelligence boom. From semiconductor ...

Key Takeaways Wall Street closed at fresh record highs , supported by easing US-Iran tensions and a rebound in technology stocks. Maybank Research raised Singapore's 2026 GDP forecast to 4.6% , citing sustained AI-driven strength in manufacturing and semiconductors. Singapore equities opened lower , with investors locking in gains despite an improving economic outlook. DBS lowered Multiplier Account interest rates , reflecting a softer interest rate environment. CapitaLand Ascott Trust, Keppel Infrastructure Trust and Yangzijiang Financial  reported positive corporate developments, offering stock-specific opportunities. Market Overview Singapore shares opened modestly lower on Tuesday, even as global risk appetite improved following another record-setting session on Wall Street. The  Straits Times Index (STI)  slipped  0.49% , with investors taking a cautious stance after recent gains. In the US, the  Dow Jones Industrial Average  closed at a fresh all-time...

Key Takeaways Singapore's exports surged 38.4%  in May, driven by robust AI-related electronics demand. Wall Street ended slightly lower  as a sharp sell-off in semiconductor stocks offset gains in healthcare. Singapore's manufacturing growth remained strong  but moderated from April, suggesting AI momentum is normalizing. Keppel's Indonesia legal dispute  has progressed to the country's Supreme Court, adding uncertainty for investors. First REIT  is seeking bondholder approval to provide greater financing flexibility ahead of planned asset divestments. Market Overview Singapore equities opened marginally higher on Monday, supported by resilient domestic economic data despite a mixed overnight performance on Wall Street. Investor sentiment remained cautious as weakness across global semiconductor stocks weighed on technology-related counters. In the U.S., major indices closed slightly lower after AI chipmakers extended their recent pullback. The semiconductor se...

Singapore equities opened lower on Tuesday as  global risk sentiment softened , even as  strong domestic data signaled continued economic resilience . STI Declines Amid Broad Market Weakness The  FTSE Straits Times Index  fell  0.53% to 4,898 , with market breadth turning negative: Advancers: 90 Decliners: 124 The pullback reflects  spillover from Wall Street weakness  and rising geopolitical risks. US Markets Retreat as Oil Surge Triggers Profit-Taking US equities eased from record highs: S&P 500   -0.4% Nasdaq Composite   -0.2% Dow Jones Industrial Average   -1.1% The decline was driven by: Oil prices jumping ~3% to ~US$105/barrel Renewed  US-Iran tensions Profit-taking in Big Tech stocks However, select AI-related names and cryptocurrencies outperformed, with  Bitcoin   surging above US$80,000  on ETF inflows and policy optimism. Singapore Economy Shows Resilience Manufacturing Expands for Ninth Month Singapore...

Market Snapshot STI:  4,904.33 (+0.24%) Volume / Value:  110.57M / S$109.45M Advancers / Decliners:  103 / 55 Wall Street Mixed Ahead of Fed Decision US markets showed a mixed performance as investors stayed cautious before the upcoming Federal Reserve decision. Nasdaq Composite Index :  +0.2% (record high) S&P 500 Index :  +0.1% (record high) Dow Jones Industrial Average :  -0.1% Key point:   Markets are in a wait-and-see mode , focusing on Fed signals and inflation risks from rising oil prices. AI-related stocks continued to lead gains: Intel  +3% SanDisk  +8.1% Micron Technology  +5.6% Taiwan Semiconductor  +0.6% Singapore Manufacturing Beats Expectations Singapore’s factory sector delivered a strong surprise: March output: +10.1% YoY  (vs forecast) MoM growth: +4.7% Q1 growth: 7.9% YoY (above 5% estimate) Excluding biomedical: +13.5% YoY growth Key point:   Manufacturing rebound is driven by strong electronics dema...

The Trump administration is preparing a major overhaul of US  steel and aluminum tariffs , with changes that could  raise effective costs for importers  while simplifying compliance for manufacturers. Shift to Simpler but Broader Tariff Structure Under the proposed changes, finished goods containing steel and aluminum will face a  25% tariff on the full product value , replacing the current system. Previously, tariffs of up to  50% applied only to the metal content  within a product. The new approach simplifies calculation but  broadens the taxable base , potentially increasing overall duties. Commodity-grade metals will still face  50% tariffs , maintaining strong protection for domestic producers. The policy is being driven by  Donald Trump ’s push to  reshore manufacturing and strengthen domestic industry . Higher Costs Despite Lower Headline Rates While the headline tariff rate appears lower, the impact is likely the opposite. By app...

Singapore’s manufacturing sector showed mixed performance in February, with headline output  edging down 0.1% year-on-year , weighed by a sharp contraction in the  biomedical cluster . Biomedical Decline Masks Underlying Strength Data from Singapore’s Economic Development Board (EDB) revealed that  biomedical output plunged 27.3% YoY , significantly dragging overall manufacturing performance. However, excluding this volatile segment,  manufacturing output actually grew 3.9% , indicating  underlying resilience in core industrial activity . Electronics Sector Provides Support The  electronics cluster recorded growth , offering a key pillar of support amid broader weakness. In contrast, most other major clusters reported  declines in output , suggesting uneven recovery across the sector. Monthly Contraction Signals Near-Term Weakness On a month-on-month basis, the data points to  short-term softness : Overall output fell 7.2% (seasonally adjusted) Ex...

  Key Takeaways • Malaysia’s August PMI rose to 49.9, its highest in 14 months, but still below the 50.0 expansion threshold. • Analysts warn the August rebound may partly reflect temporary front-loading ahead of the 19% US tariff hike effective Aug 1. • September PMI will provide the first clear picture of how tariffs are affecting manufacturing momentum. • Domestic demand, trade diversification, and “China+1” investments offer buffers, but external risks remain high. August Performance S&P Global reported Malaysia’s manufacturing PMI at 49.9 in August, up from 49.7 in July, marking the strongest reading since June 2024. The improvement was driven by renewed increases in new orders, although business confidence weakened and employment growth moderated. Tariff Effects and Outlook BIMB Securities noted that August strength may reflect front-loaded activity before the US tariff hike took effect on Aug 1. This raises the likelihood of softer performance in the second half of 2025 ...

The latest version of President Trump’s sweeping tax-and-spend bill has landed — and while it spares no controversy, it’s creating a new investing landscape with distinct sector implications. For equity analysts and portfolio managers, the revised legislation introduces both tailwinds and headwinds that could reprice entire industries. Winners: Position for Upside Fossil Fuels Traditional energy stocks stand to benefit significantly. Subsidies for carbon capture and relaxed royalty terms boost profitability for oil and gas firms. Watch for upside in exploration and production (E&P) players and energy infrastructure names. Semiconductor & Tech Hardware U.S. chipmakers get a lift via an expanded 35% tax credit for new domestic fabs. This could accelerate capex from Intel, Micron, and others as Washington intensifies its onshoring push. Manufacturers & Real Estate Developers Full factory expensing through 2031 and bonus depreciation for commercial properties reinforce domestic...

  Tariffs Moving Forward Despite Trade Concerns Trump reiterated that tariffs on Canada & Mexico are "on time and going forward" , emphasizing that past U.S. leadership allowed unfair trade deals. The new tariffs include: 25% tax on all imports  from Canada & Mexico. 10% tax on Canadian energy imports . March 4 is the scheduled start date  after a 30-day delay for security negotiations. Trump’s Justification for the Tariffs Claims  U.S. has been "mistreated" in trade  and that  past leaders signed bad agreements . Blames  American leadership for allowing other countries to gain advantages  in trade deals. Suggests that  previous administrations failed to protect U.S. manufacturing and economic interests . Market & Economic Reactions Tariff fears have already pressured the U.S. stock market , with concerns that  trade wars could reignite inflation . Businesses worry about supply chain disruptions , especially in industries rel...

  Upcoming Tariffs on Canada & Mexico Starting March 4 , a  25% tax on imports  from Canada & Mexico will take effect ( 10% for Canadian energy imports ). These tariffs were  delayed for 30 days  to allow both countries to strengthen  border security against illegal immigration & drug trafficking . Trump justifies the move  by citing the fentanyl crisis and its impact on the U.S. Reciprocal Tariffs Plan Signed on  Feb. 13 , this strategy  matches tariffs imposed on U.S. exports  by other countries. Includes treating  value-added taxes (VATs) as tariffs , which could  disrupt trade with Europe . Implementation dates remain unclear , but major shifts in trade flows are expected. Steel & Aluminum Tariffs (Effective March 4) 25% tariffs on global steel & aluminum imports  reinstated to  protect U.S. industries . Alcoa CEO warns  the aluminum tax  could cost 100,000 U.S. jobs  and hurt Am...

Peter Navarro emphasized that tariffs will play a crucial role in President Trump’s economic strategy , highlighting plans to  review global trade practices  and  enforce fair trade through reciprocal tariffs  to protect U.S. industries and national security. 🔹 Key Takeaways from Navarro’s Remarks 🔹  U.S. to investigate global trade practices  before imposing tariffs after  April 1 . 🔹  Tariffs aim to reduce the $1 trillion annual U.S. trade deficit , which Navarro labeled a  national emergency . 🔹  Focus on fairness:  The U.S. seeks  reciprocal tariffs —if countries lower tariffs on U.S. goods, the U.S. will reciprocate. 💬  Navarro:   "America has the lowest tariffs in the world, and it’s not fair. President Trump wants a level playing field." 📊 Industries in Focus 🔹  Steel & Aluminum:  Tariffs will remain due to  national security concerns  and  global subsidies  from countri...

The European Union is prioritizing negotiations over retaliatory tariffs in response to US President Donald Trump’s decision to impose 25% duties on steel and aluminum imports starting March 12 . EU officials aim to  prevent a full-scale trade war , though they remain prepared for countermeasures if talks fail. 🔹 EU’s Strategy: Dialogue Over Retaliation 📌  EU trade ministers held a video conference  to coordinate their response, emphasizing a  unified front  in upcoming negotiations. 📌  While countermeasures were discussed , including reinstating  2018 tariffs on US goods (bourbon, motorcycles, orange juice) , the primary approach remains  diplomacy . 📌  EU trade chief Maros Sefcovic  had his first call with  US officials, including Commerce Secretary nominee Howard Lutnick and USTR nominee Jamieson Greer , with both sides agreeing to meet soon. 💬  Irish Foreign Minister Simon Harris:   "There is a window for negotiat...

Indonesia is bracing for global trade disruptions  caused by  US President Donald Trump’s aggressive tariff policies , seeking to  diversify its markets and protect local industries  amid rising protectionism. 🌏 Indonesia’s Strategy: Expand Markets, Protect Local Trade 🔹  Indonesia aims to leverage the US-China tariff war  by expanding its market share if Chinese goods face higher US tariffs. 🔹  The country is also reinforcing local industries , particularly the  textile sector , which has been hit by  cheap imports and illegal shipments . 🔹  New trade agreements are in the works  to secure alternative markets, with  Peru, Canada, the EU, and India  on the priority list. 💬  Deputy Trade Minister Dyah Roro Esti Widya Putri: "We do not want to act too hastily on import regulations, but we will ensure policies are in Indonesia’s best interest." 🚨 Trump’s Tariffs: A Wake-Up Call for Global Trade 📌  Trump’s new...

  Key Highlights: Grant Details: The  Commerce Department finalized a $6.1 billion Chips Act grant  for Micron Technology, enabling the company to build three state-of-the-art chip-making facilities. Investment Impact: Micron's Commitment:  Up to  $125 billion in planned investments  over two decades in  New York and Idaho . Additional Expansion:  Preliminary terms agreed for a  $275 million investment  to expand Micron's  Manassas, Virginia plant , which specializes in DRAM chips for defense, aerospace, automotive, and industrial applications. Chips Act Context: Passed in  2022 , the  Chips Act  allocates nearly  $53 billion  to boost U.S. semiconductor production. The Biden administration aims to finalize key grants before the Trump presidency begins, as President-elect Trump has threatened to eliminate the Act. Micron's Role: Micron, the  only U.S.-based memory chip maker , plans to construct: A...

Private-sector hiring decelerated in November as the manufacturing sector struggled, according to the latest ADP National Employment Report released Wednesday. The report also noted accelerating wage growth for the first time in more than two years, a trend that could influence Federal Reserve policy. Job Growth Slows The private sector added 146,000 jobs in November, down from a revised 184,000 in October . The figure fell short of economists' expectations of 163,000 new jobs , as polled by The Wall Street Journal . "While overall growth for the month was healthy, industry performance was mixed," said ADP Chief Economist Nela Richardson . She highlighted manufacturing as particularly weak, alongside softness in financial services and leisure and hospitality. Employment by Company Size and Region Large Firms (500+ Employees): Led job growth, adding the most positions. Small Firms (<50 Employees): Lost jobs overall. Regional Gains: South: Recorded the highest job gr...

Singapore's economy accelerated in the third quarter of 2024 , growing by 2.1% from the previous quarter , driven by a strong rebound in manufacturing and steady growth in construction , according to the Ministry of Trade and Industry . This performance slightly surpassed economists' expectations of a 2% increase. On a year-on-year basis, the economy expanded 4.1% , beating the forecasted 3.8% growth. The robust growth has shifted Singapore onto a stronger economic footing, suggesting that the recovery is gaining momentum despite tight monetary conditions and geopolitical tensions . The manufacturing sector grew by 7.5% year-on-year , rebounding from a 1.1% contraction in the previous quarter. The construction sector also grew by 3.1% , though at a slower pace than the 4.8% growth in the prior quarter. However, uncertainties remain. Households continue to face cost-of-living pressures , and external risks, such as a weaker Chinese economy , the upcoming US presidential el...

  The impending US tariff hike on Chinese-made gloves presents an opportunity for Malaysian glove makers to increase production, according to Top Glove Corp Bhd managing director Lim Cheong Guan . With US tariffs on China-made gloves set to rise from 7.5% to 50% in 2025 and 100% by 2026, Malaysian glove manufacturers could step in to meet the supply gap left by Chinese competitors. Top Glove, which derives 20% of its sales from the US, sees this as a chance to boost production . However, Lim emphasized that Top Glove has no plans to build new manufacturing facilities in the US due to the high costs of production , which are three to four times higher than in Malaysia. He noted that any US expansion would only be feasible if subsidized by the government. Although Malaysian gloves are not affected by the tariffs, the industry has faced challenges in the past, including forced labor allegations . Competitors like Supermax Corp Bhd have opted to manufacture within the US , wh...

A new tax on sugary drinks, proposed in Malaysia's upcoming Budget 2025, could impact manufacturers like Nestlé (Malaysia) Bhd, Berjaya Food Bhd, Fraser & Neave Holdings Bhd (F&N), and Farm Fresh Bhd. CIMB Securities notes that manufacturers may respond to the new tax by either raising prices or reducing sugar content in their products. Key Takeaways: Potential Impact on Pricing and Product Composition : Manufacturers may choose to increase selling prices to pass on the added costs of the sugar tax or reduce the sugar content to avoid the tax. Past behavior suggests that firms affected by similar taxes have adjusted ingredients rather than increasing prices. Additionally, manufacturers could expand their product ranges, introducing options with reduced sugar content or higher prices. Scope and Impact of the New Sugar Tax : The proposed sugar-sweetened beverage tax follows a previous increase in the sugar tax from 10 sen to 50 sen per liter, which successfully reduced sugary...