Singapore Stock Market: STI Rallies on Rate‑Cut Hopes and IPO Buzz (28

Singapore’s stock market ended the last trading day of the week on a firm note, with the Straits Times Index (STI) edging higher on Friday, 28 November 2025, as investors bet on imminent global interest‑rate cuts and digested a fresh wave of local corporate and IPO news. ^[1]

At the same time, the policy and macro backdrop is shifting: Singapore’s core inflation has ticked higher, employers are signaling more cautious pay and bonus plans, and regulators are rolling out reforms to deepen liquidity and revive listings on the Singapore Exchange (SGX). ^[2]

Below is a full wrap of the key developments on 28–29 November 2025 and what they mean for the Singapore stock market in the weeks ahead.

STI Near Record High as Banks and SGX Lead Gains

On Friday, 28 November:

The STI rose about 0.3% (14.62 points) to close at 4,523.96.
The iEdge Singapore Next 50 Index gained 0.2% to 1,447.21.
Advancers narrowly beat decliners 279 to 217, on about 1.2 billion shares worth S$1.2 billion traded. ^[3]

Blue‑chip performance highlighted the market’s current leadership:

SGX was the top STI gainer, climbing about 1.6% to S$16.86, continuing a run‑up since the Monetary Authority of Singapore (MAS) and SGX announced market‑revitalisation measures earlier in November. ^[4]
The three local banks extended their rally: DBS added 0.4% to S$54.20, OCBC gained 1.3% to S$18.50 and UOB rose 0.3% to S$33.98. ^[5]
City Developments (CDL) was the weakest STI constituent, slipping around 1% to S$7.23. ^[6]

Regional equity performance was mixed, with Hong Kong’s Hang Seng Index down about 0.3%, South Korea’s Kospi off 1.5%, and Malaysia’s KLCI down 0.8%, while Japan’s Nikkei 225 inched up 0.2%. ^[7]

Close to Historic Highs

TradingView data shows the STI is up about 0.74% over the past week, 1.68% over the past month and roughly 21.8% over the last year, with the index’s all‑time high of 4,575.91 set on 13 November 2025. ^[8]

That puts Friday’s close just shy of record territory, reinforcing the narrative that Singapore has been one of Asia’s more resilient markets this year, despite global volatility.

Global Rate‑Cut Hopes and Wall Street’s Tone Lift Sentiment

The local rally on 28 November did not happen in isolation. Optimism that the US Federal Reserve will cut interest rates at its December meeting continues to filter through global markets.

In New York on 28 November, US stocks advanced in a shortened post‑Thanksgiving session: the Dow Jones Industrial Average rose about 0.61%, the S&P 500 gained 0.54% and the Nasdaq Composite added 0.65%. ^[9]

Fed‑funds futures now imply a high probability of a December rate cut, helping global equity benchmarks notch weekly and, in some cases, monthly gains. ^[10]

This backdrop matters for Singapore because:

Lower US rates would reduce pressure on Asian currencies and yields, generally supportive for risk assets in the region.
A more dovish Fed tends to benefit high‑dividend and financial stocks, categories which dominate the STI.

As one strategist quoted in local media put it, markets are effectively “sprinting towards the conclusion” that the Fed will deliver some “holiday cheer” to investors — a mood that helped support STI’s climb on Friday. ^[11]

MAS–SGX Reforms Are Reshaping the Market

Beyond global macro drivers, investors are still digesting a set of structural reforms that MAS and SGX unveiled on 19 November to reinvigorate Singapore’s equity market. ^[12]

Key elements include:

SGX–Nasdaq dual‑listing bridge
- Allows eligible companies (market cap of S$2 billion and above) to pursue a concurrent listing on SGX and Nasdaq using a single prospectus and streamlined regulatory review. ^[13]
S$2.85 billion in fresh capital for local equities
- Allocated under the Equity Market Development Programme, channelled through six asset managers — including BlackRock, Eastspring and Manulife Investment Management — with a mandate to invest in Singapore‑listed stocks. ^[14]
“Value unlock” programme
- Around S$30 million in grants to help listed companies improve investor relations, capital‑market storytelling and shareholder‑value strategies. ^[15]
More accessible blue chips
- Board lot sizes for shares priced above S$10 have been cut from 100 to 10 shares, making leaders like DBS and SGX more attainable to retail investors. ^[16]
Enhanced research ecosystem
- The GEMS scheme now provides additional funding for each equity research report produced, aimed at broadening analyst coverage and making information more accessible to younger investors. ^[17]

The reforms follow a multi‑year review and come as IPO activity rebounds. A Deloitte report cited by The Straits Times notes that nine deals raising about US$1.6 billion in the first 10½ months of 2025 gave Singapore its strongest listing year since 2019 and the highest IPO proceeds in South‑east Asia so far in 2025. ^[18]

New Catalist IPO: Leong Guan’s Listing Adds to Pipeline

Late on Friday night and into Saturday morning (28–29 November), investors woke up to details of a fresh Catalist‑board IPO by Leong Guan Holdings, a noodle and food‑manufacturing group with more than two decades of operating history. ^[19]

Highlights of the deal:

Shares offered: 20.65 million at S$0.23 each, split between:
- 16.3 million new shares
- 4.35 million vendor shares
Implied post‑listing market cap: about S$23.3 million, on an expected issued share capital of 101.22 million shares. ^[20]
Gross proceeds: approximately S$4.75 million, with net proceeds of around S$2.15 million after expenses. ^[21]
Use of funds:
- Expansion of export markets and broader product range
- Upgrades to manufacturing facilities
- Strategic acquisitions and alliances
- General working capital support ^[22]
Dividend policy: the company aims to distribute at least 80% of FY2025 net profit and at least 35% of FY2026 net profit as dividends, subject to performance and board discretion. ^[23]

Shares are expected to begin trading on 11 December 2025, adding another consumer‑sector name to the Catalist roster at a time when investors have been hunting for yield and defensive cash‑flow stories. ^[24]

Hot Stock: OKP Jumps on Generous Bonus Issue

In mid‑cap space, OKP Holdings drew strong interest on Friday after announcing a sizeable bonus share issue:

The civil engineering specialist proposes to issue three bonus shares for every four existing shares, potentially creating up to 231.3 million new shares. ^[25]
The company’s share count could rise from roughly 308.4 million to about 539.8 million if the corporate action is fully executed. ^[26]
The stock surged as much as 7.5% intraday, before closing up 6.6% at S$1.13, making it one of the day’s standout gainers outside the STI. ^[27]

Management’s rationale is to improve trading liquidity and broaden the shareholder base, a theme that aligns neatly with MAS–SGX’s broader push to unlock value and boost activity across the market. ^[28]

OKP has also been in the news for winning major Land Transport Authority and PUB contracts, including a S$258.3 million job to construct new cycling paths in eastern Singapore and a S$39.9 million drainage‑improvement project, reinforcing its order‑book visibility. ^[29]

Banks in Focus: Autobahn–Shariot Restructuring and OCBC Tech Outage

Autobahn & Shariot Group’s S$304m Debt Overhang

Late on Friday, the Autobahn Rent A Car and Shariot car‑sharing group filed for a High Court moratorium covering 18 related entities, seeking protection from creditors while it works on a restructuring plan. ^[30]

Key details:

The group has accumulated about S$304.2 million in debt, up from S$180 million originally reported earlier in the week. ^[31]
DBS is the largest creditor, owed roughly S$94.8 million. Other creditors include Teck Wei Credit (S$70 million), OCBC, UOB, Toyota Financial Services and major car dealers Borneo Motors and Komoco Motors. ^[32]
The group expanded its vehicle fleet aggressively after the pandemic, but demand lagged and costs rose, including COE premiums, insurance and maintenance. ^[33]

For Singapore’s listed banks, the situation is being watched closely but is not yet seen as a systemic threat. The exposure appears manageable relative to their large balance sheets, though the episode underscores credit‑risk pockets in consumer and leasing segments. ^[34]

OCBC’s Mobile Banking Outage

Separately, OCBC appeared in Friday’s “stocks to watch” lists after it confirmed that a two‑hour mobile banking outage on Thursday night had been fully resolved:

Around 1,400 customers reported login issues on the bank’s mobile app, but ATM and card services remained unaffected, and there was no compromise of customer data or deposits. ^[35]
OCBC’s share price had actually closed slightly higher at S$18.27 before the outage news and then rose further on Friday amid the broader financials rally. ^[36]

From an equity‑market perspective, the incident looks more like a short‑term reputational blip than a material financial risk, but it highlights the increasing scrutiny of operational resilience and digital infrastructure at the big banks.

Sector Moves: Property, Tech and Small‑Cap Stories

Frasers Property Redeems Perpetuals

Property investor Frasers Property said it will redeem S$300 million of perpetual securities on 17 January 2026 as part of its S$5 billion multi‑currency debt programme. ^[37]

The move should slightly simplify its capital structure and may be viewed positively by bond and equity investors seeking clarity on leverage and refinancing plans, even though the stock slipped modestly to S$1.04 on Thursday. ^[38]

MetaOptics and the SGX–Nasdaq Bridge Narrative

On the tech side, MetaOptics, a Catalist‑listed semiconductor optics firm, has become a symbol of the market’s growing interest in cross‑border listings:

The stock debuted in September at S$0.20 and, despite volatility, is still up close to 300% from its IPO price. ^[39]
On Thursday, 27 November, shares spiked early before closing 3.4% lower at S$0.705 as investors digested its plan for a proposed Nasdaq listing. ^[40]
With a current market cap of around S$172 million, MetaOptics is too small to qualify for the SGX–Nasdaq dual‑listing bridge, which is reserved for companies worth S$2 billion and above. ^[41]

The story illustrates how smaller growth companies are still keen on US listings to access deeper liquidity and specialised investors, even as MAS–SGX reforms aim to keep more equity capital‑raising activity onshore.

Macro Backdrop: Inflation Edge Higher, Employers Turn Cautious

Inflation Surprise

On Monday, 24 November, official data showed Singapore’s core inflation rose 1.2% year‑on‑year in October, up from 0.4% in September and above economists’ expectations of 0.7%. Headline inflation was also 1.2%, compared with consensus estimates of 0.9%. ^[42]

MAS still projects core inflation averaging around 0.5% for 2025, with headline inflation between 0.5% and 1.0%, and left its policy settings unchanged at the most recent review. ^[43]

For equities, modestly higher‑than‑expected inflation:

Adds some uncertainty to the timing and pace of local rate cuts, even as global markets price aggressive easing by the Fed.
May support bank net‑interest margins if interest rates stay elevated for longer.

Employers Tighten Salary and Bonus Plans

A new ManpowerGroup survey of 504 employers released on 28 November suggests businesses are increasingly cautious on compensation: ^[44]

Only 23% of firms plan pay rises of 5% or more for 2025/2026, down from 26% a year earlier.
The share of companies planning increments below 3% has risen to 21%, from 18%.
Nearly 45% of employers expect to give a one‑month bonus, up from 42%, while fewer plan larger bonuses of 1.5 months or more. ^[45]

This blend of slower wage growth and still‑positive bonuses is consistent with an economy that is growing, but where companies remain mindful of costs and volatile external demand — a backdrop that could support corporate margins but slightly dampen domestic consumption growth.

What’s on the Earnings Radar for 29 November

With most of the major earnings season wrapped up, the weekend calendar is light. According to TipRanks’ Singapore earnings calendar for Saturday, 29 November 2025, only two mid‑cap counters are scheduled to report:

Marco Polo Marine Ltd (ticker: 5LY) – a marine and offshore services provider with a market cap around S$446 million.
HG Metal Manufacturing Ltd (ticker: BTG) – a steel distributor with a market cap near S$135 million. ^[46]

While these names are outside the STI, their results can still inform sentiment in the industrial and commodity supply‑chain segments of the Singapore market.

Market Structure: How Concentrated Is the STI?

For investors tracking the SPDR Straits Times Index ETF (ES3), State Street Global Advisors’ latest factsheet (as of 28 November) offers a snapshot of the index’s structure: ^[47]

Top three holdings (index weights):
- DBS Group ~26%
- OCBC ~14%
- UOB ~10%
Sector mix (index level):
- Financials: ~54%
- Real Estate: ~16%
- Industrials: ~10%
- Telecommunications, utilities, consumer and tech make up the rest.
Valuation metrics (fund level):
- Price‑to‑earnings ratio around 9–10x
- Price‑to‑book near 1.5x
Fund size: roughly S$2.3 billion in AUM, with 30 constituents and a closing market price of S$4.62 on 28 November. ^[48]

This heavy tilt towards financials means news around MAS policy, credit quality (such as the Autobahn restructuring) and global rate expectations will remain key drivers for the index. ^[49]

How Local Investors Are Positioning into December

Beyond day‑to‑day moves, local investor‑education platforms are highlighting dividend and small‑cap opportunities as the market heads into year‑end.

A recent piece from The Smart Investor, for example, points to small‑cap income plays such as Elite UK REIT, Civmec and Boustead Singapore as potential dividend candidates outside the STI, while promoting a webinar titled “STI at New Highs: Can the index soar higher?”. ^[50]

Themes that appear to be resonating with Singapore investors include:

Defensive income: REITs and infrastructure‑style assets with long leases and government‑linked tenants. ^[51]
Industrial and engineering order‑book strength, especially where governments are ramping up infrastructure and defence spending (e.g., Civmec’s Australian navy exposure). ^[52]
Value unlocking via spin‑offs and REIT listings, such as Boustead’s proposed UI Boustead REIT. ^[53]

These narratives dovetail with MAS–SGX’s efforts to broaden the opportunity set beyond the 30 STI names and to channel more institutional capital into mid‑cap and small‑cap counters. ^[54]

What It All Means for the Singapore Stock Market

Pulling the threads together from 28–29 November:

Momentum remains positive.
- The STI is hovering just below record highs after a year‑to‑date gain of more than 20%, supported by strong financials and expectations of global rate cuts. ^[55]
Reforms are deepening and diversifying the market.
- MAS–SGX initiatives — from the SGX–Nasdaq bridge and board‑lot cuts to new research grants and value‑unlock programmes — are designed to boost liquidity, enhance coverage and attract more growth listings. ^[56]
Corporate activity is picking up.
- Deals like Leong Guan’s Catalist IPO, OKP’s bonus issue, Frasers’ perpetual redemption and MetaOptics’ Nasdaq ambitions point to a market where companies are actively managing capital structures and seeking new funding channels. ^[57]
Risks are still present — especially in credit.
- The Autobahn–Shariot group’s restructuring shows how rapid expansion and higher funding costs can strain leveraged business models, with knock‑on implications for lenders and investors. ^[58]
Macro and labour trends bear watching.
- A surprise uptick in core inflation and signs of more cautious wage and bonus plans suggest a delicate balance between cost control and domestic demand, which could influence corporate earnings into 2026. ^[59]

For readers following the Singapore stock market today, the next phase of the rally is likely to hinge on three questions:

Will the Fed and other central banks deliver the rate cuts that markets are anticipating?
Can MAS–SGX reforms sustain higher liquidity and a richer IPO pipeline beyond 2025?
And will earnings — especially at the banks and rate‑sensitive sectors — keep pace with elevated share prices as the economy navigates higher‑for‑longer rates and shifting wage dynamics?

As always, any investment decision should factor in your own risk tolerance, time horizon and financial situation. The developments of 28–29 November show a market that is vibrant, changing and increasingly influenced by both global policy shifts and local structural reforms.

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