- Upgrade Singapore banking sector to OVERWEIGHT. We envisage a Goldilocks economy with steady growth accompanied by low inflation, the ideal balance for sustainable and lengthy economic expansion, supported by the Trump Administration’s new focus on affordability.
Switch focus to affordability.
- - Read this at SGinvestors.io -
Disruption from trade conflict is contained.
- Efforts to reduce the trade deficit by imposing reciprocal tariffs has taken a backseat. In fact, President Trump has signed an executive action to remove tariffs on key agricultural products, including coffee, tea, tropical fruits, bananas, cocoa, spices, beef, tomatoes and fruit juices, in Nov 25, to contain cost of living.
Disinflation prolongs ongoing economic expansion.
- - Read this at SGinvestors.io -
- Concurrently, CPI has moderated 0.3ppt m-o-m to 2.7% in Nov 25. Supply chains have normalised, while commodity prices have stabilised. Disinflation supports sustainable economic expansion.
Limited downside for domestic interest rates.
- Read more at SGinvestors.io.
