29.01.202604:27:28UTC+00Singapore Stocks Muted After MAS Policy Decision

The Straits Times Index (STI) remained nearly unchanged, hovering around 4,912 during the afternoon session. This stability came after a previous decline following the Monetary Authority of Singapore's (MAS) decision to maintain the current monetary policy stance. However, MAS adjusted its core and headline inflation forecasts upward to a range of 1%–2% for the year. Despite this elevated inflation outlook, MAS anticipates that GDP growth will remain robust through 2026. Market participants exercised caution as the Federal Reserve recently kept interest rates unchanged. Additionally, new domestic data revealed a decline in producer prices for the first time in five months, marking the most significant drop in six months. On a brighter note, preliminary data indicated that Singapore's GDP expanded by 4.8% in 2025, up from 4.4% in 2024. The unemployment rate held steady at 2%. Within the market, sectors such as energy, minerals, and utilities experienced gains, which counterbalanced declines in consumer durables and communication. Notable stock movements included Sembcorp's 3.0% rise, a 0.6% increase for Singapore Technologies Engineering, and declines of 1.6% and 1.3% for Jardine Cycle & Carriage and Jardine Matheson Holdings, respectively.