U.S. stocks closed at record highs for the S&P 500 and Nasdaq, driven by optimism over potential U.S.–Iran peace talks and strong corporate earnings.

S&P 500 rose 0.8% to 7,165.08; Nasdaq gained 1.63% to 24,836.60, while the Dow dipped 0.16% 
Investor sentiment improved after news that Iran’s foreign minister may meet mediators in Pakistan to restart negotiations.

Oil prices were mixed, with U.S. crude falling slightly and Brent edging higher.
Geopolitical tensions remain (Middle East conflict, naval standoff), but markets are largely focusing on fundamentals.

Strong earnings—especially Intel’s surge (~24%)—boosted markets, alongside a broader semiconductor rally
For the week: S&P 500 +0.6%, Nasdaq +1.5%, Dow −0.4%.

Nvidia shares hit a record high, pushing its market value above $5 trillion, driven by strong demand for AI technology.

The stock rose 4.3% to $208.27, continuing a massive surge (over 14× growth since 2022) fueled by AI demand
Other chipmakers also surged: AMD +14%, Qualcomm +11%.
The Nasdaq is up 15% in April, on track for its best month since 2020.
However, Nvidia faces growing competition, including new AI chips from Alphabet.

DOJ drops probe on Powell, paving the way for Warsh to lead Fed

Middle Eastern capital remains vital to global finance, but geopolitical tensions may temporarily reshape how and where it is deployed.
The Middle East is not only a major exporter of goods like oil, but also a critical source of global investment capital through sovereign wealth funds such as Public Investment Fund, Qatar Investment Authority, and Abu Dhabi Investment Authority. These funds play a key role in global markets, supporting mergers, asset managers, and large-scale investments—especially in the US.

During the 1972 “Great Grain Robbery”, when Soviet official Nicolai Belousov secured a massive covert grain deal with the United States during a Soviet food crisis.
The USSR, then a global superpower, faced severe crop failures and depleted grain reserves in the early 1970s.
Belousov arranged a secret purchase of US$705 million in US grain, roughly a quarter of America’s wheat supply, by negotiating separately with major traders so no one saw the full scale of demand.
The deal contributed to global food price spikes, and was later followed by further commodity shocks linked to geopolitical events like the 1973 oil embargo.
It is remembered as the “Great Grain Robbery” due to its outsized market impact and lack of transparency.
Ongoing geopolitical tensions (e.g., Ukraine war and Middle East risks) are again disrupting global grain and fertilizer supply chains.
This environment may benefit large agricultural traders such as ADM, Bunge, and Wilmar, which profit from volatility and supply disruptions.
Historical grain supply shocks show how geopolitical crises can reshape commodity markets, with modern agribusiness firms positioned to benefit from similar disruptions today.

Boustead Projects secures construction contract from public sector client exceeding $400 mil

UI Boustead REIT launches maiden investment in UIB Konan Phase 3 development project

SHS Holdings receives EGM requisition to implement equal access share buyback at 17 cents per share

Singapore’s construction boom is boosting interest in the entire ecosystem, including steel supplier HG Metal. HG Metal’s shares surged ~75% in the past year, reflecting improved earnings and industry upcycle The company is focusing on Singapore growth. Demand is strong from infrastructure, housing, and commercial projects, with more opportunities (e.g., Changi T5) ahead. Backed by major shareholder Green Esteel, HG Metal is expanding capacity and investing in low-carbon steel.

Singapore’s three major banks—DBS, OCBC, and UOB—are expected to report mixed 1QFY2026 results, with earnings generally stable but pressured by falling interest rates.
Profit forecasts:
DBS: $2.91B (slightly above previous quarters)
OCBC: $1.94B (up from last quarter)
UOB: $1.59B (steady improvement)
Key pressure: Declining SORA rates are expected to reduce net interest margins (NIM) and net interest income, with slower loan growth and possible guidance cuts.
Costs & risks: Analysts expect higher credit provisions due to macro uncertainty (Middle East tensions, global economy), though banks remain adequately covered.
Analyst views:
OCBC is seen as relatively more defensive in earnings quality by some analysts.
DBS faces valuation pressure but remains preferred by others due to scale and diversification.
UOB downgraded to neutral by some brokers.
Income outlook:
DBS to pay dividends (including special dividend)
OCBC and UOB maintain ~50% payout policy

Keppel’s 1QFY2026 update highlights stronger infrastructure conditions, asset recycling, and steady progress in capital management.
Energy & infrastructure: Legacy rigs are in demand, with higher day rates supported by tighter supply and stronger offshore activity. Spark spreads rose ~$30 for short-term contracts after the Iran conflict, boosting profitability in power-related assets.
Core business strength: Infrastructure remains Keppel’s largest profit contributor (>70%). Earnings benefit from fuel-hedged/linked contracts, helping pass through higher costs.
Oil & rigs outlook: Rising oil prices (>US$100 Brent) and industry consolidation are improving demand for Keppel’s $4B rig portfolio, with better long-term charter prospects.
Asset recycling: Active monetisation continues—Seatrium stake sold for $430M, with $2–3B target for the year.
Capital inflows: Added $400M FUM and secured $2B+ future fund commitments.
Data centres & M1 deal: Applying for additional 200MW data centre capacity; M1 sale still pending regulatory approval with contingency plans in place.
Financial position: Positive free cash flow, stronger than last year, supported by divestments and investments.

Ascott’s business has evolved from a traditional hotel owner-operator into an asset-light global lodging management platform under CapitaLand Investment (CLI).
2000: Listed in Singapore with ~6,000 serviced units, operating an asset-heavy model.
2008–2021: Taken private by CapitaLand and gradually shifted toward asset-light operations.
Today: Over 90% of units are managed under long-term contracts (10–20 years), generating stable fee income.
CLI now positions Ascott as a fee-driven business, targeting $500M in lodging management earnings by 2028 (from $343M in 2024).
The model mirrors global hotel groups like Marriott, Hilton, and Hyatt, focusing on recurring management fees rather than property ownership.
Analysts are split on whether Ascott should be separately listed.
CLI management says a listing could be considered if scale justifies it, but no decision yet.
For now, Ascott remains within CLI, continuing to expand its fee-based global platform.

Shares of Koh Brothers Group (KBG) and Koh Brothers Eco (KBE) surged as investors reacted to a major valuation gap linked to their stake in Oiltek International.
Oiltek has been a standout performer, rising about 2,600% since its 2022 IPO, making it one of the best-performing SGX stocks.
KBG’s share price has nearly doubled, while KBE has more than doubled, alongside a sharp spike in trading volumes.
The core issue is valuation:
KBE’s stake in Oiltek is worth more than its own market cap.
KBG’s effective stake in Oiltek is also worth almost twice its market value.
Some shareholders proposed distributing Oiltek shares to unlock value, but management rejected the proposal, citing risks and strategic considerations.
Critics argue Oiltek’s value is “trapped” within the group structure, even as its performance drives hidden value.

ESR-REIT delivered stable but slightly mixed results for 1QFY2026, with income growth supported by leasing strength despite asset divestments.
Distributable income: Up 1.4% y-o-y to $44.8M, helped by stronger operations but offset by absence of one-off gains last year.
Revenue/NPI: Slight declines due to asset sales, but same-store revenue rose 1.4%, showing underlying rental strength.
Rentals: Strong 9.2% rental reversion, led by logistics and high-spec industrial properties.
Occupancy: Slightly lower at 91.3%.
Leasing profile: Average lease expiry of 4.7 years, with ~18% leases up for renewal this year.
Capital position: Gearing at 44.3%, expected to fall to ~39.5% after planned divestments; cost of debt improved to 3.34%.
Outlook: Management expects slower rental growth (single-digit positive reversions) due to rising supply and global cost pressures, but occupancy should remain stable.
ESR-REIT is maintaining steady performance with strong leasing demand, but future growth is expected to moderate due to supply headwinds.

Elite UK REIT reported a solid 1QFY2026 performance with higher distributable income and stable financial positioning, despite some earnings volatility.
Distributable income: Up 9.8% y-o-y to £5.3M, supported by lower interest costs, acquisitions, and divestments.
Revenue/NPI: Revenue rose 1.2%, but NPI fell 12.3% due to one-off gains in the prior year.
Leasing strength: WALE improved to 6.9 years, helped by new long-term government leases, significantly reducing lease expiry risk.
Asset strategy:
Lindsay House redevelopment into student housing on track (2027).
Cambria House conversion into PBSA progressing through planning.
Balance sheet:
Gearing improved to 37.4%.
Interest coverage at 2.6x, with 92% fixed-rate debt.
Borrowing: Cost stable at 4.7%, with manageable refinancing risk and extension options.
Elite UK REIT is strengthening its lease profile and balance sheet while expanding into student accommodation, supporting stable long-term distributions despite short-term income fluctuations.

A potential merger between Jardine’s Wellcome and CK Hutchison’s ParknShop supermarkets in Hong Kong faces major doubts due to valuation gaps and regulatory uncertainty.
The two chains together control about 92% of Hong Kong’s supermarket market, raising potential competition concerns, though Hong Kong merger rules mainly focus on telecoms.
ParknShop was last valued at US$3–4B in 2013, but analysts now estimate its value is far lower (~US$220M–US$420M implied) based on earnings and ROCE expectations.
This creates a large valuation mismatch, making a deal unlikely unless pricing expectations reset significantly.
DFI Retail (operator of Wellcome) has improved financially after divestments, with a stronger balance sheet and a focus on disciplined capital allocation (15% ROCE target).
DFI is seen as well-managed and disciplined in M&A.
Any ParknShop deal would require a steep discount, making the transaction unlikely.

Mount Elizabeth Hospital, the flagship of IHH Healthcare, has completed a multi-year $350 million refurbishment (“Project Renaissance”), upgrading facilities, redesigning wards, and adding technology to improve efficiency and patient care.

Singapore-listed electronics and AI-related stocks surged in the week of Apr 20, driven by strong export demand and global AI tailwinds. AEM Holdings led gains with a rise of over 20%, supported by its partnership with ASE Technology to develop AI testing solutions. Other gainers included UMS (+15.1%), Frencken (+7.5%), and Valuetronics (+10.8%), while Aztech Global saw mixed performance.

iFast Corporation said it has not significantly benefited from recent capital inflows into global financial hubs despite geopolitical tensions, as most inflows came from high-net-worth investors—an area where its exposure is limited. Management also warned that escalating Middle East conflict could negatively impact its unit trust and stock businesses in the short term. Future profitability is expected to come from digital banking and pension businesses, with efficiency gains from AI helping improve margins. Strategic moves include a stake in Financial Alliance Corporation, rebranding FSMOne to FSM Global, and a partnership with Ant International to enhance cross-border payments.

CapitaLand Integrated Commercial Trust (CICT) delivered 1Q2026 results largely in line with expectations, with net property income (NPI) rising 7.9% year-on-year to $314.4 million. Growth was driven by earlier acquisitions (CapitaSpring and Gallileo) and higher rents.

When Cuscaden Peak privatised Paragon REIT in 2025, investors were warned that Paragon mall faced a costly S$300–600 million asset enhancement initiative (AEI) that could significantly weigh on distributions. That outlook helped drive many unitholders to exit via the buyout.
A year later, CapitaLand Integrated Commercial Trust (CICT) is acquiring the same mall for S$3.9 billion and re-positioning the same redevelopment plan as a value-creating opportunity rather than a risk. With its scale and diversified portfolio, CICT is better able to absorb renovation disruption and may ultimately opt for a more modest upgrade than initially suggested.
Market reaction has been positive, with CICT’s unit price and investor demand strengthening, indicating the deal is broadly seen as attractive. The acquisition price also appears reasonable when adjusted for the privatisation premium and the freehold nature of the asset, with estimates suggesting CICT is paying only a modest 1%–11% premium over underlying value assumptions.
Paragon REIT’s earlier underperformance likely reflected portfolio structure issues—particularly weaker overseas assets—rather than the mall itself. In contrast, CICT’s Singapore-focused, large-scale portfolio provides stronger financial capacity and flexibility to execute any AEI without materially affecting distributions.
Strategically, the deal allows CICT to redeploy capital from an office divestment into a prime Orchard Road retail asset with stable medical tenancy income, reinforcing its dominance across Singapore’s key retail corridor and strengthening pricing power.
Overall, the episode underscores how investment narratives can shift dramatically with ownership: a “risk-laden overhaul” under one structure becomes a “manageable growth opportunity” under another. Retail investors who exited earlier may ultimately feel they missed out, even though the transaction is value-accretive on paper.

Singapore’s office investment market has rebounded strongly since late 2025, with deals reaching S$10.74 billion year-to-date—driven by lower interest rates, tight CBD supply, and strong investor demand. Major transactions, including Asia Square Tower 2, reflect renewed confidence as cheaper financing improves returns.
Challenges remain: large deal sizes limit the buyer pool, and competition from other asset classes and overseas markets persists. While global uncertainties (such as Middle East tensions) may slow decisions in the short term, Singapore’s strong fundamentals are expected to sustain long-term demand and investment activity.

Thailand is seeking to modernise its navy and has received bids from six companies — including Hyundai Heavy Industries and ST Engineering — for a US$530 million frigate contract. Other bidders include Hanwha Ocean, Navantia, and Turkish firms Asfat and Tais Shipyards.

Regulators now require government approval before Chinese tech companies can accept U.S. funding, affecting firms like ByteDance, Moonshot AI, and StepFun.
The move follows Meta’s $2B acquisition of AI startup Manus, which raised concerns about sensitive technology flowing abroad.

China’s attempt to curb its auto price war is failing as major carmakers like BYD Co continue deep discounting to stay competitive. BYD’s average price cuts hit a record 10% in March, with rivals such as Geely Automobile Holdings Ltd and Chery Automobile Co also increasing discounts.
Overcapacity is the root issue, with factories running at only about 50% utilisation. While exports are rising to absorb excess supply, they are triggering trade tensions and tariffs abroad.
Overall, the price war is unlikely to end soon, as automakers prioritise market share, innovation, and survival in an increasingly crowded and financially strained industry.

Hong Kong stocks ended slightly higher after a volatile session, with the Hang Seng Index reversing early losses to close up 0.2%, despite weak sentiment from US-Iran tensions, rising oil prices, and a mixed global market backdrop. US and China equities were mostly lower overnight, while Treasury yields and the US dollar rose.

• AI and software stocks fell sharply amid regulatory and geopolitical concerns, including accusations of intellectual property theft and broader US-China tech tensions.
• Lithium stocks surged after supply disruptions from a major Australian mine, boosting names like Tianqi Lithium and Ganfeng Lithium.
• Semiconductors and chip-related stocks rallied strongly, led by SMIC and Hua Hong Semiconductor, following optimism around domestic AI chip development and new model releases.
• Some AI firms and tech names (e.g., MiniMax, Zhipu) dropped sharply despite broader sector innovation news.

Unisem (M) Bhd posted its first quarterly loss in nearly six years, slipping to a RM13.36 million net loss in 1QFY2026 despite higher revenue, as rising production costs squeezed margins. No dividend was declared.

Mesiniaga Bhd secured a RM51.6 million cloud infrastructure contract from a Maybank unit.

ManagePay Systems Bhd won a contract to provide an open payment system for the East Coast Rail Link ticketing system.

CTOS Digital Bhd reported a 28% rise in quarterly profit driven by stronger associates’ income and lower finance costs, and declared an interim dividend.

Sarawak Consolidated Industries Bhd secured a RM32.8 million school construction contract in Sabah.
Petra Energy Bhd won a two-year offshore operations contract from Vestigo Petroleum in Sarawak.
Sarawak Oil Palms Bhd saw a 44% drop in quarterly profit due to derivatives losses despite stable revenue.

Eco World Development Group Bhd sold its final industrial land parcels in Johor for RM280.8 million to a hyperscale data centre operator linked to ongoing tech infrastructure expansion.

Chuan Huat Resources Bhd exited its loss-making subsidiary Pineapple Resources for RM26 million, triggering a mandatory general offer.

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