Broker: Lim & Tan Securities
Date of Report: 5 September 2025
Singapore Market Outlook September 2025: Key Indices, Company Highlights, and Sector Trends
Major Market Indices and Key Financial Metrics
| Index |
Close |
1D (%) |
MTD (%) |
YTD (%) |
| FSSTI Index |
4,296.8 |
0.2 |
0.6 |
13.4 |
| INDU Index |
45,621.3 |
0.8 |
0.2 |
7.2 |
| SPX Index |
6,502.1 |
0.8 |
0.6 |
10.5 |
| CCMP Index |
21,707.7 |
1.0 |
1.2 |
12.4 |
| UKX Index |
9,216.9 |
0.4 |
0.3 |
12.8 |
| NKY Index |
42,580.3 |
1.5 |
-0.3 |
6.7 |
| HSI Index |
25,058.5 |
-1.1 |
-0.1 |
24.9 |
| SHCOMP Index |
3,765.9 |
-1.3 |
-2.4 |
12.4 |
Key points:
The FSSTI Index is nearing its 52-week high, signaling robust performance for Singapore equities.
Major US indices are trending upward, with the S&P 500 and Nasdaq recording strong year-to-date gains.
Commodities show mixed performance: gold is up 35.3% YTD, crude oil is down 11.5% YTD, while the Baltic Dry Index surged 94.6% YTD.
The Singapore 3M compounded SORA and 10-year government bond yields have declined significantly year-to-date, supporting optimism for REITs.
Macro and Economic Update: US Labor Market and Monetary Policy Outlook
US private payrolls increased by only 54,000 in August, missing economists’ forecasts.
Layoffs announced by US-based employers jumped 39% to 85,979 in August, the highest since 2020.
For the first time since the pandemic, there are more unemployed people than job openings in the US.
The unemployment rate is expected to rise to 4.3% from 4.2%.
The Federal Reserve has held its benchmark rate at 4.25-4.5% since December, with potential for a rate cut at the upcoming September meeting.
Lower rates are seen as positive for REITs, reducing financing costs and enhancing yield attractiveness.
Dividend and Valuation Leaders in the Singapore Market
| Category |
Company |
Value |
| Highest Forward Dividend Yield (%) |
DFI Retail Group |
17.27 |
| Highest Forward Dividend Yield (%) |
Frasers Logistics Trust |
6.52 |
| Highest Forward Dividend Yield (%) |
Mapletree Industrial Trust |
6.20 |
| Highest Forward Dividend Yield (%) |
DBS Bank |
5.97 |
| Highest Forward Dividend Yield (%) |
UOB Bank |
5.83 |
| Lowest Forward P/E (x) |
Yangzijiang Shipbuilding |
8.18 |
| Lowest Forward P/E (x) |
Thai Beverage |
10.36 |
| Lowest Forward P/E (x) |
UOB Bank |
10.37 |
| Lowest Trailing P/B (x) |
Hongkong Land |
0.48 |
| Lowest Trailing P/B (x) |
UOL Group |
0.53 |
| Lowest EV/EBITDA (x) |
Yangzijiang Shipbuilding |
5.22 |
ST Engineering: Leading Singapore’s AI Transformation
ST Engineering (STE) is investing S$250 million over five years in a groundbreaking physical AI programme, focusing on robotics and human-machine collaboration.
The Manned-Unmanned Teaming Operating System (Mumtos) integrates agentic and physical AI to enable faster, smarter decision-making in operations—already capable of detecting over 23 gas types and providing actionable insights for rescue missions.
STE aims to upskill 4,000 engineers in AI, with 2,000 already trained, and will create 1,000 new AI specialist roles, including external hires.
Collaborations are planned with government training schemes and external partners to grow its AI talent pool.
STE boasts a market cap of S$24.8 billion, trades at 28x forward PE and 9x P/B, has a dividend yield of 2.1%, and a consensus target price of $8.73 (9.8% upside). The Accumulate rating is maintained, especially with rising geopolitical tensions.
Macro Market Themes: AI, Geopolitics, and Gold
AI development is seen as a destabilizing force for politics and international security, prompting expectations of aggressive fiscal responses and higher corporate taxes in the US.
In Hong Kong and China, demand for precious metals traders is soaring amid a gold rally and efforts to establish Hong Kong as a global gold hub.
Chinese banks are actively recruiting experienced, bilingual gold traders as part of their expansion in the bullion market, but face challenges in sourcing local talent.
Share Transactions: Key Acquisitions, Disposals, and Buybacks
| Company |
Type |
Shares |
Price (S\$) |
New Stake (%) |
| Q&M Dental |
Acquisition |
4,191,400 |
0.50 |
54.63 |
| Mewah International |
Acquisition |
1,000,000 |
0.34 |
48.57 |
| CNMC Goldmine |
Disposal |
1,500,000 |
0.70 |
8.22 |
| ST Engineering |
Buyback |
500,000 |
8.20 |
0.9 (of mandate) |
Fund Flow Analysis: Institutional and Retail Activity
| Top 10 Institution Net Buy (S\$M) |
Top 10 Institution Net Sell (S\$M) |
Top 10 Retail Net Buy (S\$M) |
Top 10 Retail Net Sell (S\$M) |
| Singtel (55.1) |
OCBC (33.0) |
DBS (47.4) |
Keppel (38.9) |
| Keppel (33.3) |
DBS (31.6) |
Sembcorp Industries (32.8) |
Singtel (36.3) |
| Jardine Matheson (27.5) |
ST Engineering (28.0) |
OCBC (30.7) |
Seatrium (17.3) |
- Institutional investors net bought S\$21.6 million, reversing a net sell a week prior.
- Retail investors net bought S\$33.7 million, up from near neutral the previous week.
- Sectoral flows show REITs, technology, and utilities are in focus for both institutional and retail activity.
Dividend and Special Distribution Calendar
| Company |
Amount |
First Day Ex-Dividend |
Payable |
| Mapletree Logistics Trust |
30 July |
10 Sept |
– |
| Mapletree Industrial Trust |
3.27 cts Interim |
4 Aug |
8 Sept |
| DBS |
60 cts Interim + 15 cts Special |
14 Aug |
25 Aug |
| UOB |
85 cts Interim + 25 cts Special |
15 Aug |
28 Aug |
SGX Watch-List: Companies Under Regulatory Review
32 companies are currently on the SGX Watch-List, including latest additions such as Addvalue Technologies, Renaissance United, Telechoice, Tiong Seng Holdings, Global Invacom Group, Green Build Technology, Keong Hong, and Camsing Healthcare.
The watch-list includes companies across various sectors, reflecting ongoing regulatory and performance monitoring.
Conclusion: Key Market Takeaways for Investors
Singapore’s equity market remains robust, driven by positive trends in major indices and strong fund flows.
Dividend leaders and valuation outliers offer attractive opportunities for yield-seeking and value investors.
ST Engineering’s bold AI investments underscore Singapore’s commitment to tech leadership.
Macro themes such as AI disruption, global gold demand, and shifting labor markets will continue to shape investor sentiment.
Active monitoring of company share transactions and regulatory watch-lists is vital for navigating the evolving market landscape.
Stay tuned for upcoming ex-dividend dates and sector movements as September unfolds, and watch for further updates on Singapore’s most dynamic listed companies.
