Keppel DC REIT and Suntec REIT 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 continued divergence between Singapore and US markets as geopolitical tensions pushed oil prices and bond yields higher. We also examine the latest earnings from Keppel DC REIT and Suntec REIT, and look at the technical outlook for the STI and major US indices as the earnings season gathers pace.

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

Weekly Market Review

2:02 - Macro Update

• US markets extended their pullback last week, with the S&P 500 declining 0.6% and the NASDAQ falling 2.1% as investors remained concerned about AI spending following earnings releases from Google and Tesla.
• In contrast, the STI continued to outperform, rising 1.4% to a fresh record high near the 5,600 level, supported by strength in the Singapore banks and continued safe-haven inflows.
• Renewed geopolitical tensions in the Middle East pushed oil prices close to US$100 per barrel, reigniting inflation concerns and driving the US 10-year Treasury yield above 4.7%, its highest level in more than a year.
• The rise in bond yields continued to support Singapore bank stocks as investors became more optimistic that net interest margins could remain resilient for longer.
• Among the strongest-performing Singapore stocks last week, Yangzijiang Shipbuilding gained 10.2%, Sembcorp Industries rose 7.0% on stronger energy prices, while DBS and UOB climbed 2.8% and 2.0% respectively.
• On the weaker side, Keppel DC REIT fell 3.0% after its latest earnings release, while City Developments and UOL declined 2.9% and 2.1% respectively as higher bond yields weighed on interest rate-sensitive stocks.

STI Top Performers:

• Yangzijiang Shipbuilding
• Seatrium
• DBS
• SATS
• UOB

STI Worst Performers:

• Sembcorp Industries
• UOL Group
• City Developments
• Keppel DC REIT
• DFI Retail Group

Companies in Focus: 

Keppel DC REIT (SGX: AJBU)

• Keppel DC REIT reported another strong set of results, with distributable income rising 18.5% year on year to S$150 million and distribution per unit increasing 11.3% to 5.714 cents in the first half of 2026.
• Growth was driven by positive rental reversions, contractual escalations and contributions from recent acquisitions, including Tokyo Data Centre 3.
• While occupancy declined to 92.5% from 95.6% in the first quarter, the REIT continued to enjoy positive rental reversions of about 10% and maintained a healthy weighted average lease expiry of 6.7 years.
• Management remains optimistic on the long-term outlook for the data centre sector, citing sustained demand from cloud computing and AI. Keppel DC REIT also maintained a healthy aggregate leverage of 34% and an average cost of debt of 2.6%. At current levels, it trades at around 1.3 times price-to-book, slightly below its historical average

Read also: 

• 3 Singapore blue-chip REITs that held up in 1H 2026. Are they still worth looking at for income
• 4 Singapore data centre REITs with dividend yields of up to 8%. What income investors may want to watch

Related Links:

• Keppel DC REIT (SGX: AJBU) latest valuation, share price and analysis
• Keppel DC REIT (SGX: AJBU) dividend history and dividend forecast

Suntec REIT (SGX: T82U)

• Suntec REIT also delivered strong earnings, with first-half 2026 distribution per unit rising 24.8% year on year to 3.936 cents, supported by stronger operating performance across its Singapore office and retail portfolio.
• Office and retail occupancies in Singapore remained exceptionally strong at 99.5%, while rental reversions stayed positive at 10.1% for office assets and 10.7% for retail assets.
• However, lower contributions from its London assets weighed on net property income, while aggregate leverage increased to 43% from 41.5% at the end of 2025.
• Management has completed a S$100 million refinancing to extend its debt maturity profile. Investors will continue monitoring leverage levels even as expectations remain positive for further DPU growth in 2026.

Related Links:

• Suntec REIT (SGX: T82U) latest valuation, share price and analysis
• Suntec REIT (SGX: T82U) dividend history and dividend forecast

Technical Analysis

Straits Times Index

• The STI reached another record high of 5,595 last week before consolidating above the 5,500 level, supported by expectations of resilient Singapore bank earnings and continued safe-haven inflows.
• Immediate support is around the 20-day moving average near 5,430, while resistance is seen around the upper Bollinger Band near 5,700.
• The RSI remains in overbought territory, suggesting that the market could see a period of consolidation unless upcoming earnings exceed expectations.
• The medium-term outlook remains constructive, although the next leg higher will likely depend on whether Singapore companies deliver strong earnings over the coming two weeks.

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

Dow Jones Industrial Average

• The Dow Jones pulled back after strong gains earlier in the month despite encouraging earnings from major US banks.
• Immediate support is around 51,600, while the 20-day moving average near 52,360 serves as the key pivot. Resistance remains around the previous all-time high of 53,289.
• The RSI is close to the neutral 50 level, suggesting the index may remain range-bound between 51,600 and 53,000 in the near term.

S&P 500

• The S&P 500 remained under pressure as investors weighed rising oil prices and geopolitical risks against the start of the US technology earnings season.
• Immediate support is around 7,300 to 7,380, while resistance remains at 7,600, close to the previous all-time high of 7,620.
• The narrowing Bollinger Bands suggest that a larger move could follow as more of the Magnificent Seven companies report earnings.
• Although momentum has weakened, easing oil prices could provide some relief if geopolitical tensions continue to subside.

Learn more about the S&P 500 index here.

Nasdaq Composite Index

• The NASDAQ remained the weakest-performing major US index as concerns over AI spending, higher oil prices and geopolitical uncertainty weighed on technology stocks.
• The index slipped below the 25,000 level, although this remains an important technical support that has held on several occasions over the past two months.
• Immediate resistance is around the 20-day moving average near 25,700, with stronger resistance around the 26,000 to 26,500 region.
• With the RSI at around 38, momentum remains weak. The upcoming earnings releases from Meta, Microsoft and Apple are likely to determine whether the NASDAQ can stage a meaningful rebound in the weeks ahead.

Learn more about the Nasdaq Composite index here.

What to look out for this week

Key dates

• Monday, 27 Jul:  Frasers Centrepoint Trust, Raffles Medical earnings; Singapore industrial production (Jun)
• Tuesday, 28 Jul : Singapore Airlines, Mapletree Logistics Trust, CapitaLand Ascott Trust, ESR-REIT, Keppel Infrastructure Trust earnings
• Wednesday, 29 Jul: OUE REIT, SIA Engineering ex-dividend; SIA Engineering, CapitaLand India Trust, Keppel REIT, Starhill Global REIT earnings; Meta, Microsoft earnings; FOMC meeting
• Thursday, 30 Jul: Lion-Phillip S-REIT ETF, Alpha Integrated REIT,  Keppel DC REIT, Mapletree Industrial Trust, Suntec REIT ex-dividend; Keppel Ltd, Frasers Logistics & Commercial Trust, Mapletree Pan Asia Commercial Trust, CDL Hospitality Trusts, AIMS Apac REIT earnings; Apple earnings; US Real GDP (2Q) and Core PCE
• Friday, 31 Jul: SingPost, Singtel ex-dividend; Seatrium earnings

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

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