- The simultaneous rate cuts in the US and the Eurozone in September are positive catalysts for S-REITs. We have raised our target prices for S-REITs by an average of 5.5% after adjusting our risk-free rate lower. Maintain OVERWEIGHT.
- - Read this at SGinvestors.io -
The new era of lower interest rates has begun.
- - Read this at SGinvestors.io -
Jackson Hole Symposium: A switch in emphasis.
- The Fed has switched emphasis to supporting the labour market as “confidence has grown that inflation is on a sustainable path back to 2%”. Chairman Jerome Powell stated in his speech that “the upside risk to inflation has diminished but the downside risk to employment has increased”.
- The labour market has cooled considerably recently. The unemployment rate rose by 0.8ppt y-o-y to 4.3% in Jul 24, although it is still low by historical standards. Fortunately, the higher unemployment was caused by the increase in supply of workers and the slowdown in pace of hiring, rather than layoffs.
Recent indicators show weakness in economic growth.
- Read more at SGinvestors.io.
Above is the excerpt from report by UOB Kay Hian Research.
Clients of UOB Kay Hian may be the first to access the full report in PDF @ https://www.utrade.com.sg/.
Jonathan KOH CFA UOB Kay Hian Research | https://research.uobkayhian.com/ 2024-09-05
Read More Analysis On Singapore REITs (S-REITs):
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