Singapore, Jan 30, 2026, 14:42 SGT — Regular session
- DBS shares dipped in afternoon trading, retreating from their S$60 peak hit just a day before
- Fed’s pause this week puts rate outlook back under the spotlight
- DBS is set to report results on Feb 9, with investors watching closely for updates on margins and dividend guidance
Shares of DBS Group Holdings Ltd slipped 0.7% to S$59.38 by 2:22 p.m. local time on Friday, retreating from a near 52-week peak of S$60. The stock fluctuated between S$59.19 and S$59.65 during the session, after closing at S$59.79 previously. (Google)
The slide matters because DBS is already priced for perfection. Singapore bank stocks have been driven to peak levels, and now investors are looking for upcoming earnings and rate cues to back up the optimism.
Rate expectations are key here. Banks rely on the net interest margin — the difference between earnings on loans and costs paid to depositors — and that margin shrinks if rates drop quicker than lenders adjust their pricing.
The U.S. Federal Reserve kept its benchmark rate steady at 3.5% to 3.75% on Wednesday, signaling it will assess incoming data and risks before deciding on any future hikes. (Federal Reserve)
Interest-rate futures now price the next Fed cut for June, even as investors argue over how much easing remains in the cycle, Reuters reported. (Reuters)
DBS hit a new high, opening at S$60 on Thursday, The Edge Singapore reported. JPMorgan’s Harsh Wardhan Modi and Daniel Andrew Tan said in a Nov. 28 note that the bank “should be part of global portfolios,” setting a S$70 price target for December 2026, the report added. Bloomberg estimates cited by the publication project around S$2.6 billion in profit for Q4, with about S$11.4 billion for the full year. (The Edge Singapore)
DBS ended Thursday at S$59.79, marking a 0.4% gain, while the Straits Times Index also climbed 0.4% following the Fed’s pause, according to The Business Times. Vishnu Varathan, head of macro research for Asia ex-Japan at Mizuho Securities in Singapore, noted the pause was “universally expected” but added the tone had “a more hawkish edge.” (The Business Times)
Other local banks showed mixed results on Friday. OCBC held steady at S$21.35, but UOB slipped 0.8% to S$38.36. (Google)
DBS is set to release its full-year 2025 results on Feb. 9, with the report scheduled before the market opens, according to a notice on SGXNET.
Investors will scrutinize the numbers for any hint the earnings engine is slowing down: loan growth, fee income from wealth and cards, plus any uptick in credit costs. They’ll also look for signals on dividends and capital returns, especially with the share price hovering near its highs.
There’s a catch to the rally. Should global yields drop sharply, margins could shrink quicker than anticipated. And if bad loans spike unexpectedly, the hit will be tougher, given the high expectations already priced in.
DBS will next face the spotlight on Feb. 9, when it reports its fourth-quarter results. The bank’s schedule also notes its annual meeting on March 31 and first-quarter earnings due April 30. (Dbs)
