【China】
🔸 China to cut existing mortgage rates by the end of October. China's central bank said on Sunday it would tell banks to lower mortgage rates for existing home loans before Oct. 31, as part of sweeping policies to support the country's beleaguered property market as the economy slows. Commercial banks should, in batches, reduce interest rates on existing mortgages to no less than 30 basis points...
🔸 China to cut existing mortgage rates by the end of October. China's central bank said on Sunday it would tell banks to lower mortgage rates for existing home loans before Oct. 31, as part of sweeping policies to support the country's beleaguered property market as the economy slows. Commercial banks should, in batches, reduce interest rates on existing mortgages to no less than 30 basis points...
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·Last week, business activity in the United States experienced a marginal slowdown in its expansion during the early part of September. Concurrently, expectations took a downturn, and a measure of received prices escalated to the highest level seen in six months.
·Meanwhile, the deterioration in the labor market, which influenced the Federal Reserve's decision for a substantial rate cut, also had a significant impact on consumer sentiment in September, leadin...
·Meanwhile, the deterioration in the labor market, which influenced the Federal Reserve's decision for a substantial rate cut, also had a significant impact on consumer sentiment in September, leadin...
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【Saudi Arabia】
🔸 Saudi Arabia’s non-oil exports climb 19% in July. Saudi Arabia’s non-oil exports surged by 19.04 percent to reach SR25.38 billion (US$6.76 billion) in July, compared to the same month of the previous year, official data showed.
🔸 Aramco (ARAMCO AB) plans to raise up US$3B in 5 and 10-year sukuk, setting the price guidance for the 5 and 10-year sukuk at 120 and 135 bps ab...
🔸 Saudi Arabia’s non-oil exports climb 19% in July. Saudi Arabia’s non-oil exports surged by 19.04 percent to reach SR25.38 billion (US$6.76 billion) in July, compared to the same month of the previous year, official data showed.
🔸 Aramco (ARAMCO AB) plans to raise up US$3B in 5 and 10-year sukuk, setting the price guidance for the 5 and 10-year sukuk at 120 and 135 bps ab...
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– Last week, LCU (+2.41% in USD), SQU (+3.30% in USD), SRT (+0.12% in SGD), and SHD (+1.06% in SGD) gained while SCY (-0.98% in SGD) fell. The gains were largely attributable to the 50bps Fed rate cut.
– LCU’s gains were driven by consumer discretionary, financials and industrials by sector, and China, Australia and Taiwan by geographies. By individual firms, gains were led by Tencent, Toyota Motor, and TSMC. Toyota Motor was amongst the Japanese auto ...
– LCU’s gains were driven by consumer discretionary, financials and industrials by sector, and China, Australia and Taiwan by geographies. By individual firms, gains were led by Tencent, Toyota Motor, and TSMC. Toyota Motor was amongst the Japanese auto ...
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· The most significant development last week was the Fed’s first rate cut in over four years, where it cut rates by 50bps. It was followed by projections suggesting a slim majority favoring an additional 50 basis points of cuts in the remaining two policy meetings this year, despite market expectations of a more aggressive 70 basis points reduction. Fed Chair Powell warned against expecting continued large rate cuts. The median projections from officials' upd...
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Why SREITs?
•Stable and High Yield
SREITs offers a yield of 4 to 7%, higher than deposit rates, broad equity market dividend yield, as well as REITs in major markets
•Lower Volatility and Correlation
SREITs have a moderate correlation to both stocks and bonds, and at lower volatility
•Hedge against inflation
Inflation leads to higher rents, which is positive for SREITs
•Diversification Benefits
SREITs offer exposure to real estate, across a wide range of sub-sectors an...
•Stable and High Yield
SREITs offers a yield of 4 to 7%, higher than deposit rates, broad equity market dividend yield, as well as REITs in major markets
•Lower Volatility and Correlation
SREITs have a moderate correlation to both stocks and bonds, and at lower volatility
•Hedge against inflation
Inflation leads to higher rents, which is positive for SREITs
•Diversification Benefits
SREITs offer exposure to real estate, across a wide range of sub-sectors an...
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• The August CPI and PPI data suggest that the Fed's preferred inflation gauge, the core PCE deflator, will likely remain steady at 0.16% when it is released on Sep 27. This could prompt officials to start cutting rates this month. However, without a clear signal from the Fed for a significant rate cut, a 25-bp move in September is more likely.
• The core PCE deflator for Aug is estimated to be 0.16%, consistent with the monthly pace required for inflation t...
• The core PCE deflator for Aug is estimated to be 0.16%, consistent with the monthly pace required for inflation t...
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•Last week, SRT (+2.56% in SGD) and SHD (+0.10% in SGD) gained, while the rest LCU (-4.25% in USD), SQU (-1.47% in USD) and SCY (-4.23% in SGD) fell.
•In LCU, losses were led by IT, consumer discretionary and industrials by sector. By geography, losses are attributable to Japan, Taiwan and South Korea. By individual firms, losses were led by TSMC, Samsung Electronics and Tokyo Electron Ltd. TSMC, Samsung Electronics and Tokyo Electron are amongst the ...
•In LCU, losses were led by IT, consumer discretionary and industrials by sector. By geography, losses are attributable to Japan, Taiwan and South Korea. By individual firms, losses were led by TSMC, Samsung Electronics and Tokyo Electron Ltd. TSMC, Samsung Electronics and Tokyo Electron are amongst the ...
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• Last week, saw a mix of data. The manufacturing PMI and ISM surveys for August continued to show weak results at 47.9 and 47.2 respectively, indicating a slower-than-normal economic growth.
• The July JOLTS report indicated a 3.0% m/m decrease in job openings to 7.673mn, significantly below expectations.
• Furthermore, the ratio of openings to unemployed dropped from 1.16 to 1.07, which is slightly below the pre-pandemic level, and ought to ease concer...
• The July JOLTS report indicated a 3.0% m/m decrease in job openings to 7.673mn, significantly below expectations.
• Furthermore, the ratio of openings to unemployed dropped from 1.16 to 1.07, which is slightly below the pre-pandemic level, and ought to ease concer...
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• Last week, data released were mixed.
• Conference Board Consumer Index exceeded expectations, reaching 103.3 in August (vs consensus 100.7).
• While labor market conditions worsened as July’s labor market differential revised down to 17.1% and further declining to 16.4% in August, jobless claims remained steady, indicating no sudden worsening in job market conditions.
• Additionally, US real GDP growth for the second quarter was adjusted upwards by 0.2 per...
• Conference Board Consumer Index exceeded expectations, reaching 103.3 in August (vs consensus 100.7).
• While labor market conditions worsened as July’s labor market differential revised down to 17.1% and further declining to 16.4% in August, jobless claims remained steady, indicating no sudden worsening in job market conditions.
• Additionally, US real GDP growth for the second quarter was adjusted upwards by 0.2 per...
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