- The US Federal Reserve (Fed) recently cut rates by 50bps, and the conventional view is that this should impact net interest margins (NIM) and the banks’ overall profitability in the coming years. However, Singapore banks outperformed in the past few weeks with both DBS share price and UOB share price hitting new all-time record highs.
Why are Singapore banks’ shares up?
- - Read this at SGinvestors.io -
- As a recap, Singapore banks posted record profits in FY23, supported by the increase in net interest income.
- Net interest income rose 25% for DBS in FY23 to S$13.6b.
- - Read this at SGinvestors.io -
Isn’t higher rates bad for banks?
- Read more at SGinvestors.io.