SGX Singapore News Update

Singapore Financial Sector Forecast to Grow Faster, Benefiting SIMSCI Index Constituents.

• According to the latest quarterly Survey of Professional Forecasters, the Singapore economy is expected to expand by 2.8% in 2015, down from estimate of 3.1% in December. However, the financial sector is expected to grow at 7.5% vs 6.5% predicted last December. SIMSCI Index, which is heavily anchored by financials, could benefit from this higher growth.
• The Monetary Authority of Singapore (MAS), in a surprise move, adjusted the NEER policy band on 28 January. Since then, the Singapore dollar has fallen 2.53% against the US dollar.
• Singapore Budget offers the manufacturing and construction sectors some boost, while GST credits will help consumer spending.
• SIMSCI Futures continued to gain ground in February, achieving an average daily volume of 15,156 contracts, with month-end open interest reaching a high of 68,104 in February.