CICT and REITs in focus: Weekly Review with SIAS

What happened?

In this week’s Weekly Market Review in partnership with the Securities Investors Association Singapore (SIAS), we discuss the rally in global markets following the US-Iran peace agreement, the Federal Reserve’s higher inflation outlook, and the growing expectation of interest rate hikes rather than rate cuts. We also look at the outlook for Singapore REITs and CapitaLand Integrated Commercial Trust (CICT), alongside the technical outlook for the STI and major US indices.

Watch the video to learn more about what we are looking out for this week.

Weekly Market Review

0:35 - Macro Update

• Global markets continued to advance last week, with the S&P 500 rising close to 1% to move back above the 7,500 level, while the NASDAQ gained 2.4% on continued strength in technology stocks.
• The STI outperformed major markets, surging 3.3% to a new all-time high near 5,200 points, supported by stronger sentiment towards banks and transport-related stocks.
• Investor sentiment improved significantly after the US-Iran agreement was signed, leading to a decline in oil prices towards the US$80 per barrel level and easing concerns about energy supply disruptions.
• The US Federal Reserve kept interest rates unchanged but raised its inflation forecast for 2026, signalling that rate cuts may not materialise in the near term.
• Market expectations have shifted sharply, with investors now pricing in the possibility of two interest rate hikes by the end of 2026, a significant reversal from expectations of rate cuts earlier in the year.
• Among the stronger-performing Singapore stocks, SATS gained 11%, Yangzijiang Shipbuilding rose 7%, SGX climbed 6%, while OCBC advanced 5% on expectations of higher-for-longer interest rates.
• On the weaker side, Hongkong Land fell 3.7%, while Keppel DC REIT and Frasers Logistics & Commercial Trust declined as higher bond yields weighed on REIT sentiment.

STI Top Performers:

• SATS
• Yangzijiang Shipbuilding
• SGX
• Keppel
• OCBC

STI Worst Performers:

• Frasers Logistics & Commercial Trust
• Venture Corporation
• Keppel DC REIT
• DFI Retail Group
• Hongkong Land

Companies in Focus: 

CapitaLand Integrated Commercial Trust (SGX: C38U)

• CICT has been one of the more resilient Singapore REITs in 2026, supported by stable operating performance and active capital recycling initiatives.
• First-quarter 2026 net property income increased 8% year on year to S$314 million, while aggregate leverage remained below 40% and the average cost of debt declined to 2.9%.
• The retail portfolio continued to perform well, with positive rental reversions of 3.9% for downtown malls and 5.1% for suburban malls, resulting in an overall portfolio rental reversion of 4.4%.
• CICT’s office portfolio also remained healthy, with average office rents increasing to S$11.00 per square foot per month from S$10.76 a year ago.
• The divestment of Asia Square Tower 2 and acquisition of a larger stake in Paragon is expected to be DPU-accretive, with management guiding for a 1.7% uplift in DPU from the transaction.
• At current levels, CICT trades at around 1.1 times price-to-book, one of the few Singapore REITs trading above book value.

Read also: 3 blue-chip REITs with dividend yields above 5%. What we’re watching in June 2026

Related Links:

• CICT: CapitaLand Integrated Commercial Trust (SGX:C38U) latest valuation, share price and analysis
• CICT: CapitaLand Integrated Commercial Trust (SGX:C38U) dividend history and dividend forecast

S-REITs

• Singapore REITs have underperformed the broader STI over the past six months as investors reassessed the outlook for interest rates and financing costs.
• Rising government bond yields have weighed on sentiment, with the Singapore 10-year government bond yield rebounding from below 1.8% in late 2025 to around 2.1% currently.
• Performance across the sector remains highly divergent, with roughly half of Singapore REITs reporting DPU growth while the other half experienced DPU declines due to differing sector fundamentals and financing costs.
• Among the stronger-performing REITs this year, Keppel DC REIT gained 8.1%, United Hampshire US REIT rose 6.4%, and OUE REIT advanced 6.3%, while several other REITs continued to face share price pressure.
• Singapore REITs currently offer an average distribution yield of around 6%, which remains attractive relative to government bond yields despite the recent rise in interest rates.

Read also: Singapore REITs offer 5.9% dividend yield. Where investors may find income opportunities 

Related Links:

• 4 Singapore data centre REITs with dividend yields of up to 8%. What income investors may want to watch
• 3 blue-chip REITs with dividend yields above 5%. What we’re watching in June 2026
• Best Singapore REIT ETFs in 2026: How to choose for your portfolio

Technical Analysis

Straits Times Index

• The STI climbed to a new all-time high of 5,226 points last week, supported by easing geopolitical risks and expectations that higher interest rates could benefit Singapore banks.
• Immediate support is around the 5,000 psychological level, while the 20-day moving average near 5,073 provides additional support. Resistance remains near the recent all-time high around 5,226.
• The RSI has risen to around 62, suggesting that momentum remains strong while still below overbought territory.
• The MACD remains positive, indicating that the STI could continue consolidating above 5,100 and potentially challenge fresh highs in the near term.

Learn more about the Straits Times Index (STI) here.

Dow Jones Industrial Average

• The Dow Jones reached a fresh all-time high of 52,281 before seeing some profit-taking towards the end of the week.
• Immediate support is around the 20-day moving average near 50,976, while stronger support remains around 50,500. Resistance remains at the recent high of 52,281.
• The RSI is around 58, indicating that momentum remains healthy with room for further upside before entering overbought territory.
• The broader uptrend remains intact, with the Dow likely to trend higher if geopolitical risks continue to ease.

S&P 500

• The S&P 500 recovered strongly from the mid-week pullback triggered by the Federal Reserve’s more hawkish outlook and finished the week around the 7,500 level.
• Immediate resistance is around the all-time high near 7,620, while support is seen around 7,307.
• The RSI has climbed to around 55, suggesting that positive momentum is rebuilding following the recent correction.
• Investors will be watching US PCE inflation data and Micron’s earnings announcement for clues on inflation trends and AI-related demand.

Learn more about the S&P 500 index here.

Nasdaq Composite Index

• The NASDAQ remained resilient despite concerns over higher interest rates and ended the week with strong gains following optimism surrounding AI-related technology stocks.
• Immediate support is around the 20-day moving average near 26,375, while stronger support remains around 25,311. Resistance remains at the all-time high of 27,190.
• The RSI is around 55, indicating that momentum is improving and remains well below previous overbought levels near 80.
• If upcoming inflation data and technology earnings remain supportive, the NASDAQ could retest its all-time high in the coming weeks.

Learn more about the Nasdaq Composite index here.

What to look out for this week

Key dates

• Tuesday, 23 Jun:  Elite UK REIT ex-date
• Wednesday, 24 Jun: Micron results
• Thursday, 25 Jun:  Soon Hock Enterprise ex-date, US PCE prices, Initial Claims

Get the full list of stocks with upcoming earnings and upcoming dividends. 

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