Broker Name: CGS International
Date of Report: July 14, 2025
Singapore Retail Market Outlook: Bullish Trends and Strategic Insights for APAC Realty and BGF Retail
Market Recap: Global Volatility and Resilience Amid Tariff Escalations
Global financial markets are bracing for heightened volatility as the United States intensifies its tariff regime, imposing a 30% tariff rate on goods from the European Union and Mexico effective August 1. This development marks a significant escalation in trade tensions, with further tariff threats targeting Canada, Brazil, Algeria, and others. Despite repeated warnings from leading financiers about investor complacency, markets have, so far, displayed resilience. Investors appear to be betting on a potential reversal from U.S. leadership, a pattern observed in previous trade negotiations.
The impact of these tariffs is expected to weigh more heavily on affected trading partners than on the U.S., intensifying pressure for swift negotiations. Meanwhile, Bitcoin has remained largely unmoved, even after reaching record highs in recent days, indicating limited immediate impact from political developments. Currency markets will provide the next risk sentiment gauge as they reopen, with the euro recently touching its highest level against the dollar since 2021, reflecting positive growth prospects in the region.
BGF Retail: Navigating Rising Valuation Pressure and Weather-Driven Headwinds
BGF Retail (KR: BGFR) faces mounting valuation pressures in the near term. Key observations include:
- Expected to post a second consecutive quarter of negative Same-Store Sales Growth (SSSG) in Q2 2025, primarily due to unfavorable weather conditions.
- The share price has shown resilience since June 2025, buoyed by expectations around government consumption vouchers.
- Conservative estimates suggest a net topline boost of approximately W200 billion in Q3 2025, attributed to these consumption vouchers.
- Despite near-term challenges, the outlook remains constructive with an “Add” recommendation, albeit with a slightly reduced target price of W140,000.
APAC Realty Ltd: Technical Analysis Signals Bullish Continuation
APAC Realty Ltd (SGX: APAC) is currently exhibiting a strong bullish trend, with technical indicators pointing towards continued upward momentum. The following table summarizes key price levels and trading recommendations:
| Price Metrics |
Level (SGD) |
| Last Price |
0.49 |
| Entry Price(s) |
0.49, 0.46, 0.41 |
| Support 1 |
0.46 |
| Support 2 |
0.35 |
| Stop Loss |
0.37 |
| Resistance 1 |
0.50 |
| Resistance 2 |
0.60 |
| Target Price 1 |
0.60 |
| Target Price 2 |
0.79 |
| Target Price 3 |
0.84 |
| Target Price 4 |
1.03 |
Technical Snapshot:
- Bullish Breakout: APAC Realty has broken out of a descending corrective channel, signaling a bullish continuation on a larger scale.
- Ichimoku Analysis: All Ichimoku indicators are currently bullish, with the stock closing above all key levels.
- MACD Strength: Both the signal and MACD lines are trending strongly above zero, with a positive histogram.
- Rate of Change: The 23-period ROC is positive, reinforcing bullish sentiment.
- Directional Momentum: The directional movement index indicates strong and steady bullish strength.
- Volume Expansion: Trading volume is expanding healthily, supporting the uptrend.
Company Overview: APAC Realty Limited operates as a real estate brokerage, offering sales and rental services for residential, commercial, and industrial properties, alongside real estate management services across Asia.
Investment Ratings Framework and Sectoral Outlook
CGS International provides a clear rating framework for stock recommendations:
| Stock Rating |
Definition |
| Add |
Total return expected to exceed 10% over the next 12 months |
| Hold |
Total return expected between 0% and +10% over the next 12 months |
| Reduce |
Total return expected to fall below 0% over the next 12 months |
Sector and country ratings further help position portfolios:
- Overweight: Positive absolute recommendation or above-benchmark positioning.
- Neutral: Neutral recommendation or benchmark positioning.
- Underweight: Negative recommendation or below-benchmark positioning.
For the quarter ended June 30, 2025, CGS International’s stock ratings distribution is as follows:
| Rating |
Distribution (%) |
Investment Banking Clients (%) |
| Add |
70.6% |
1.1% |
| Hold |
20.5% |
0.5% |
| Reduce |
8.9% |
0.5% |
A total of 561 companies were under coverage during this period.
Important Disclaimers and Regional Regulations
This report contains extensive regulatory and jurisdictional disclosures, emphasizing that the information is intended for professional, institutional, or sophisticated investors as defined by local laws. Distribution restrictions and local financial regulations apply, particularly in Australia, Canada, China, France, Germany, Hong Kong, Indonesia, Ireland, Malaysia, New Zealand, Singapore, South Korea, Spain, Sweden, Switzerland, Thailand, the UAE, the UK, the EEA, and the United States.
The information in this article is general in nature and should not be construed as an offer, solicitation, or recommendation to buy or sell any securities. Investors are urged to conduct their own due diligence and consult professional advisors before making investment decisions.
Conclusion: Strategic Positioning Amid Market Uncertainty
Despite macroeconomic headwinds and escalating global trade tensions, select opportunities exist within the Singapore and Asia-Pacific retail sectors. APAC Realty Ltd’s bullish technical setup and BGF Retail’s voucher-driven sales prospects highlight the importance of tactical positioning and technical analysis in the current environment. Investors are encouraged to monitor market developments closely, leverage robust analytical frameworks, and remain adaptable to the evolving economic landscape.
