STI Holds Above 5,700 as Banks Power Turnover While REITs Slip Near 52-Week Lows

Market overview and STI ETF performance

The Straits Times Index closed the trading week at 5,700.00 on August 28, up 16.00 points or 0.28 per cent from the previous close of 5,684.00. According to the data, the benchmark gained 0.35 per cent across the five sessions from August 24 to August 28, moving from 5,680.00 to 5,700.00. The index now stands about 1.3 per cent below its 52-week high of 5,774.00 and roughly 34 per cent above its 52-week low of 4,252.00. The Business Times reported that analysts see the STI's growth as reflecting the depth and diversity of Singapore's economy, and expect the Government's equities market reforms to draw more attention from retail and foreign investors as more high-growth companies join the index (The Business Times, 26 Aug 2026). The same publication noted that the STI's rise to record highs has prompted market participants to ask whether further gains remain possible at these levels (The Business Times, 26 Aug 2026).

The SPDR STI ETF, the exchange-traded fund that tracks the benchmark, ended the week at $5.765, marginally below its previous close of $5.771. The fund's 52-week range is $4.31 to $5.898, placing it within about 2 per cent of the top of that band.

The index's modest daily gain masked a softer tone underneath. On August 28, only 7 stocks advanced while 18 declined and 5 were unchanged, for an average change of -0.21 per cent across the 31 constituents. That divergence between a rising index and falling market breadth shows the day's advance was carried by a small cluster of large-cap names, chiefly in the financial and commodity-related space, while the broader market — and the real estate counters in particular — lost ground.

Sector-by-sector analysis

Financial services was the clear leader of the day, with the sector averaging a gain of 0.61 per cent across four stocks. DBS Group Holdings closed at $76.15, up 0.66 per cent, while Oversea-Chinese Banking Corporation rose 0.55 per cent to $31.07. Singapore Exchange gained 0.87 per cent to $25.51, the second-largest advance among all constituents on the day. The data shows DBS is within about 2.3 per cent of its 52-week high of $77.97, OCBC within 2.5 per cent of its high of $31.86, and Singapore Exchange within 0.7 per cent of its high of $25.69. United Overseas Bank closed at $40.78, which is below its 50-day moving average of $41.88 though still above its 200-day moving average. The Business Times reported that the three local banks accounted for 35 per cent of trading activity on SGX in the first six months of 2026, and that from October 5 it will cost less to get started owning Singapore bank stocks (The Business Times, 26 Aug 2026).

The real estate sector was the weakest broad grouping, averaging a decline of 0.53 per cent across 12 counters. Several REITs are trading within 5 per cent of their 52-week lows, according to the data. CapitaLand Ascendas REIT closed at $2.43 against a low of $2.41; Frasers Centrepoint Trust closed at $2.16 against a low of $2.15; Keppel DC REIT closed at $2.20 against a low of $2.15; Mapletree Industrial Trust closed at $1.92 against a low of $1.89; Mapletree Logistics Trust closed at $1.16 against a low of $1.14; and Mapletree Pan Asia Commercial Trust closed at $1.27 against a low of $1.22. The sector's dividend yields are correspondingly high: the data lists Mapletree Industrial Trust at 6.56 per cent, CapitaLand Ascendas REIT at 6.42 per cent, Frasers Logistics & Commercial Trust at 6.34 per cent and Mapletree Logistics Trust at 6.29 per cent. The Business Times reported that Mapletree Industrial Trust's manager will see a leadership change, with chief executive Lily Ler stepping down (The Business Times, 21 Aug 2026), and the stock was among those flagged in the same newspaper's stocks-to-watch list at the start of the week (The Business Times, 24 Aug 2026). Separately, The Smart Investor noted that CapitaLand Ascendas REIT has a strong sponsor in CapitaLand Investment, with opportunities to grow through acquisitions and developments (Yahoo Finance Singapore, 24 Aug 2026). CapitaLand Integrated Commercial Trust, which the data lists with revenue growth of 7.5 per cent, delivered first-half 2026 gross revenue of S$846.8 million, up 7.5 per cent year on year, according to a Yahoo Finance report (Yahoo Finance Singapore, 25 Aug 2026).

Hongkong Land fell 2.73 per cent over the week to $8.19, and The Business Times ran an opinion piece examining how the company's SCPREF structure shows that private funds may trump the asset-light strategies used by REITs (The Business Times, 24 Aug 2026). The data lists Hongkong Land with the lowest price-to-earnings ratio among STI constituents at 7.7 times.

Utilities was the worst-performing single-stock sector, with Sembcorp Industries declining 1.31 per cent to $6.01. Sembcorp had featured in the week's news agenda: Yahoo Finance reported that the company is preparing to list its Indian renewable energy business (Yahoo Finance Singapore, 21 Aug 2026).

The industrials sector averaged a decline of 0.22 per cent across six stocks. Yangzijiang Shipbuilding bucked the trend, rising 0.82 per cent to $4.90, a level that matches the stock's 52-week high. The data shows the counter had the highest revenue growth among constituents at 36.2 per cent. Other industrial names were weaker: SATS closed the week down 2.67 per cent at $4.01, while Singapore Airlines and Singapore Technologies Engineering both closed below their 50-day moving averages.

Communication services, represented by Singapore Telecommunications, averaged a gain of 0.22 per cent. Singtel was among the week's strongest performers, rising 2.26 per cent from $4.42 to $4.52, and ranked third in value traded on the latest day at about S$94.2 million.

In the consumer space, Wilmar International was the day's top gainer, rising 1.06 per cent to $3.81, and finished the week up 1.33 per cent. The consumer defensive sector averaged a gain of 0.17 per cent across three stocks. Genting Singapore, in the consumer cyclical category, fell 3.08 per cent over the week to $0.63; the data lists its dividend yield at 6.35 per cent.

The technology sector, represented by Venture Corporation, averaged a decline of 0.64 per cent on the day, yet Venture finished the week up 1.50 per cent at $16.97, making it the third-best weekly gainer in the index.

Top gainers and losers analysis with reasons

On the latest day, the five biggest gainers were Wilmar International at $3.81 (up 1.06 per cent), Singapore Exchange at $25.51 (up 0.87 per cent), Yangzijiang Shipbuilding at $4.90 (up 0.82 per cent), DBS at $76.15 (up 0.66 per cent) and OCBC at $31.07 (up 0.55 per cent). The five biggest losers were Frasers Logistics & Commercial Trust at $0.93 (down 1.59 per cent), Sembcorp Industries at $6.01 (down 1.31 per cent), Mapletree Logistics Trust at $1.16 (down 0.85 per cent), CapitaLand Investment at $2.66 (down 0.75 per cent) and City Developments at $8.34 (down 0.71 per cent).

Across the full week, the picture shifted. The top weekly gainers were Yangzijiang Shipbuilding, up 3.38 per cent from $4.74 to $4.90; Singapore Telecommunications, up 2.26 per cent from $4.42 to $4.52; Venture Corporation, up 1.50 per cent from $16.72 to $16.97; Singapore Exchange, up 1.39 per cent from $25.16 to $25.51; and Wilmar International, up 1.33 per cent from $3.76 to $3.81. The top weekly losers were Jardine Matheson Holdings, down 3.75 per cent from $61.00 to $58.71; UOL Group, down 3.26 per cent from $9.51 to $9.20; Genting Singapore, down 3.08 per cent from $0.65 to $0.63; Hongkong Land, down 2.73 per cent from $8.42 to $8.19; and SATS, down 2.67 per cent from $4.12 to $4.01.

The data shows several of these moves occurred against notable technical backdrops. Jardine Matheson closed at $58.71, within about 1.2 per cent of its 52-week low of $58.02. SATS closed at $4.01, about 12 per cent below its 50-day moving average of $4.55. Sembcorp's daily decline came in the same week the company was in the news for its Indian renewable energy listing plans (Yahoo Finance Singapore, 21 Aug 2026), though the data does not establish a causal link between the two. Meanwhile, the banks' strength coincided with the Business Times report on lower-cost access to bank stocks from October 5 (The Business Times, 26 Aug 2026).

Volume and momentum analysis

Frasers Centrepoint Trust traded at 2.2 times its average volume on August 28, the only unusual volume flag in the data for the week. The counter closed at $2.16, within 0.5 per cent of its 52-week low of $2.15, and its elevated turnover came on a day when the broader REIT sector was under pressure.

Value traded was heavily concentrated in the banking names. DBS was the most actively traded stock by turnover at about S$191.5 million, followed by OCBC at about S$135.9 million, Singtel at about S$94.2 million, UOB at about S$70.1 million and Yangzijiang at about S$52.3 million. The dominance of the three banks in turnover is consistent with the Business Times report that they accounted for 35 per cent of SGX trading activity in the first half of 2026 (The Business Times, 26 Aug 2026).

On momentum, the data identifies four stocks trading below their 50-day moving averages while remaining above their 200-day moving averages: SATS at $4.01 against a 50-day average of $4.55, Singapore Airlines at $6.89 against $7.46, Singapore Technologies Engineering at $10.64 against $10.64, and UOB at $40.78 against $41.88. These figures describe where each price sits relative to its recent trading range; they are measurements of position, not projections of direction.

Impact of macroeconomic or geopolitical factors

The week's trading took place against a backdrop of heightened trade tension between Singapore and the United States. CNA reported that Deputy Prime Minister Gan Kim Yong visited the US amid a 12.5 per cent tariff on Singapore exports, with merchandise trade between the two countries amounting to S$139.2 billion in 2025 (CNA, 24 Aug 2026). Prime Minister Lawrence Wong said at the National Day Rally that it is not realistic to trace every shipment through Singapore to satisfy US tariff demands, according to The Business Times (The Business Times, 23 Aug 2026). The same publication reported that the rules and norms underpinning global stability are being overturned as the balance of power shifts (The Business Times, 23 Aug 2026).

These external pressures appear to be weighing on business sentiment at home. A survey reported by Yahoo Finance found that Singapore chief financial officers' business optimism fell 34 points, the sharpest decline across nine markets, with 78.2 per cent of finance teams unable to quantify the effect of tariff shocks on cash flow, margins and working capital at speed (Yahoo Finance Singapore, 25 Aug 2026). Trade and Industry Minister Tan See Leng said Singapore cannot rely on more land, labour or carbon for its next phase of growth, and that geopolitical tensions and economic fragmentation are reshaping trade and investment (CNA, 26 Aug 2026).

At the same time, The Business Times reported that young investors are being drawn to Singapore equities as a safe harbour amid global volatility, with some beginning to consider larger-cap stocks as part of their portfolios (The Business Times, 26 Aug 2026). The data for the week shows the STI holding above 5,700 even as trade-related uncertainty dominates the headlines, though it also shows the weight of that uncertainty falling unevenly across sectors: banks and telecoms advanced, while interest-rate-sensitive and trade-exposed real estate and industrial names lagged.

What the data shows about stability and volatility

The data provides a range of measured characteristics that illustrate how differently STI constituents behave. Market capitalisation ranges from DBS at S$216.6 billion and OCBC at S$139.5 billion down to smaller constituents such as Sembcorp Industries at S$10.7 billion and Thai Beverage at S$11.7 billion. Beta, a measure of how much a stock has historically moved relative to the market, also varies widely. The banks show low betas — DBS at 0.29, OCBC at 0.20, UOB at 0.38 — as do Singapore Exchange at 0.26, Singtel at 0.25 and Sembcorp at 0.06. At the other end, Yangzijiang Shipbuilding shows a beta of 0.87 and Keppel DC REIT shows 0.84, indicating these names have tended to move more sharply than the index. A beta below 1 means a stock has historically amplified market moves to a lesser degree; above 1 means greater sensitivity.

The data also highlights the contrast between the financials, trading near their 52-week highs, and the REITs, clustered near their lows. DBS, OCBC, Singapore Exchange and Yangzijiang all closed within 5 per cent of their 52-week highs, while seven real estate names closed within 5 per cent of their lows. The dividend yield figures in the data — with Mapletree Industrial Trust at 6.56 per cent the highest among constituents — reflect the income profile of the REIT sector at current price levels. On valuation, the lowest price-to-earnings ratios in the index are Hongkong Land at 7.7 times, City Developments at 9.2 times, Yangzijiang at 10.4 times, Keppel DC REIT at 11.6 times and Thai Beverage at 11.6 times. These are descriptive figures; the data does not assess whether any of them represents better or worse value.

Revenue growth in the data spans from 5.9 per cent at CapitaLand Ascendas REIT to 61.1 per cent at City Developments and 36.2 per cent at Yangzijiang, with several financial and industrial names in the mid-teens to high-teens. Together with the beta and yield figures, these metrics give a broad picture of the different risk and return characteristics that coexist within the STI.

What to watch in the coming week

Several company-specific events reported in the news will bear watching. Sembcorp Industries' planned listing of its Indian renewable energy business is expected to progress, after the company featured in the week's market highlights (Yahoo Finance Singapore, 21 Aug 2026). Mapletree Industrial Trust's leadership transition, with chief executive Lily Ler stepping down, will continue to be a focus for unitholders of the REIT (The Business Times, 21 Aug 2026). The Business Times reported that the change allowing investors to own Singapore bank stocks at lower cost takes effect on October 5, which means the coming weeks will be the final stretch before implementation (The Business Times, 26 Aug 2026).

On the policy front, the Government's equities market reforms, which analysts expect to attract more high-growth companies to the SGX and more investor attention to the STI, remain an ongoing theme (The Business Times, 26 Aug 2026). Trade developments following Deputy Prime Minister Gan Kim Yong's visit to the US will be closely watched given the 12.5 per cent tariff on Singapore exports (CNA, 24 Aug 2026). The National Day Rally comments from Prime Minister Wong on the practical limits of shipment tracing set expectations for how Singapore intends to navigate the tariff environment (The Business Times, 23 Aug 2026). With Singapore's CFO sentiment having fallen sharply in the latest survey (Yahoo Finance Singapore, 25 Aug 2026), any further trade announcements will be relevant to the market's mood. These are events to monitor; the data offers no basis for predicting how the index will respond to them.

References

[1] The Business Times; STI's growth reflects Singapore's economic depth and diversity, say analysts; 26 Aug 2026

[2] The Business Times; Can money still be made when the STI has hit record highs?; 26 Aug 2026

[3] The Business Times; Want to own stocks of S'pore banks? It will cost less to get started from Oct 5; 26 Aug 2026

[4] The Business Times; Lily Ler to step down as CEO of Mapletree Industrial Trust manager; 21 Aug 2026

[5] The Business Times; Stocks to watch: Mapletree Industrial Trust, OUE, OUE Healthcare; 24 Aug 2026

[6] The Business Times; Hongkong Land's SCPREF shows private funds may trump REITs asset-light strategies; 24 Aug 2026

[7] Yahoo Finance Singapore; Singapore Stocks Keep Rising: Should You Buy Now or...; 25 Aug 2026

[8] Yahoo Finance Singapore; Top Stock Market Highlights of the Week: Sembcorp Industries, Singapore's Big Three Banks, Moderna and CapitaLand Investment; 21 Aug 2026

[9] Yahoo Finance Singapore; 3 Singapore REITs I Would Buy and Hold for the Next 10 Years; 24 Aug 2026

[10] CNA; DPM Gan Kim Yong visits US amid 12.5% tariff on Singapore exports; 24 Aug 2026

[11] The Business Times; NDR 2026: Not realistic to trace every shipment through Singapore to satisfy US tariff demands, says PM Wong; 23 Aug 2026

[12] Yahoo Finance Singapore; Singapore CFO Business Optimism Falls 34 Points, the Sharpest Decline Across Nine Markets; 25 Aug 2026

[13] CNA; Singapore cannot rely on more land, labour or carbon for next phase of growth: Tan See Leng; 26 Aug 2026

[14] The Business Times; Young investors drawn to Singapore equities as safe harbour amid wild seas; 26 Aug 2026

Disclaimer

Not financial advice. The author is not licensed to provide investment advice in Singapore. This is general commentary and personal opinion based on publicly available information, and does not take account of your objectives, financial situation or needs. Figures are compiled from public sources and may be incomplete, delayed or wrong — verify against the company's own filings and SGX before relying on anything here. The author may hold positions in the securities mentioned. Do your own research, and consider speaking to a licensed financial adviser before making any investment decision.

Get AGM minutes + ex-date schedules, annual reports summaries, and stocks price volume combined with SGX announcements!  Do Paper Trading and Track the Top Market Movers!  Here: