Singapore stocks have been on a tear since the Monetary Authority of Singapore (MAS) announced plans to form a review group to strengthen the equities market in August 2024. The market rallied further when MAS and the Financial Sector Development Fund announced, in February, that it would launch a $5 billion Equity Market Development Programme (EQDP).
Singapore stocks, which rose by 2.3% m-o-m in August and for the fourth consecutive month in a row, are expected to make further gains. Telecommunications and property stocks were the top gainers during the month, while mid-cap companies under the brokerage’s coverage, such as PropNex, Soilbuild Construction and Pacific Radiance, rallied in August, with gains of 74%, 69% and 61%, respectively. Since the beginning of the year, the market has been up by 12.7%.
This rally is forecast to continue, as Singapore equities, particularly small- and mid-caps, are expected to benefit from multiple upcoming rounds of liquidity injection, says PhillipCapital’s head of research Paul Chew.
