Iran strike raises market uncertainty: Weekly Market Recap

At almost every Chinese New Year gathering I went to this year, there was a question that kept coming up.

And no, it wasn't "Are you seeing anyone?"

It was "Are Singapore stocks still worth looking at?"

For years, Singapore's stock market had the reputation of being the “steady but sleepy” one. You buy for dividends, collect your yield, and try not to get too excited. 

But with the Straits Times Index (STI) crossing the 5,000-point mark recently, many investors seem to be taking a fresh look at the local market.

My answer is usually yes. Singapore stocks can make sense, especially if you find U.S. markets a bit too dramatic for your liking, or prefer to keep your assets aligned with the Singapore dollar.

If you want exposure to Singapore blue chips without having to pick individual names, we share how you can do so easily through an STI ETF. 

With the latest 6-month T-bill yield sitting at just 1.36%, we also highlight blue chip stocks offering yields above 5% for those hunting for income. We also take a closer look at blue chip stocks near their all-time highs to see if their dividend yields still justify the prices.

For investors looking beyond the usual big names, we review the recent earnings of Hong Leong Asia and Pan United, both of which have had quite a run over the past year. 

If you are looking for a way to invest using cash, CPF and SRS all in one place, we also share how to do that through a single broker.

That said, Singapore stocks are not immune to surprises. Just look at how UOB’s share price and OCBC’s share prices reacted after their earnings. Even the “steady” names can wobble.

So before you rush to buy anything, I would still ask myself one simple question: am I investing for long-term growth, steady income, or just because everyone at the reunion dinner is talking about it?

Happy growing!

Gerald, Founder of Beansprout

⏰ This Week In Markets

US-Israel strike on Iran

What happened? 

Over the weekend of 28 February 2026, the United States and Israel launched a major coordinated military attack on Iran.

US President Donald Trump said the operation was aimed at “eliminating imminent threats from the Iranian regime.”

This marks the second time in eight months that the Trump administration has carried out strikes on Iran, following earlier Israeli attacks on Iranian nuclear facilities in June 2025.

What does this mean?

Iran has since launched retaliatory attacks across the region. Saudi Arabia, Bahrain, Kuwait and Qatar have all reported incoming missiles, drones or explosions. 

Iranian state media has confirmed that Supreme Leader Ayatollah Ali Khamenei was killed in the strikes, creating a significant leadership vacuum and raising questions about how Iran will respond next.

For financial markets, the immediate focus is oil. Even before the latest strikes, oil prices had already climbed about 20% this year, reaching around US$73 per barrel on Friday. Analysts expect prices to jump further when markets reopen on Monday.

The biggest risk lies in the Strait of Hormuz, the narrow waterway through which roughly 31% of the world’s seaborne oil passes. Any disruption or closure of this route could significantly tighten global supply and push oil prices sharply higher.

Why should I care?

Global markets are likely to remain volatile in the coming days as investors assess how the conflict unfolds, with particular attention on Iran’s next move and whether the Strait of Hormuz faces any disruption.

The latest escalation adds fresh uncertainty to markets that were already fragile, as investors had been wrestling with concerns over the disruptive impact of artificial intelligence and renewed global trade and tariff tensions. 

U.S. stocks fell, led by technology shares, after a widely circulated research report heightened fears that rapid AI advances could disrupt multiple industries and pressure corporate earnings.

Singapore stocks also pulled back as some blue chip counters, including Genting Singapore, Venture, and UOB disappointed investors with softer-than-expected results.

For investors looking at safe havens, learn how to buy gold in Singapore and what we’re looking out for when investing in gold.

🚗  Moving This Week

• UOB said 4Q2025 net profit fell 7% year on year to S$1.41 billion, weighed by margin pressure from lower benchmark rates. The result was slightly below the S$1.44 billion Bloomberg consensus. UOB declared a S$0.71 per share dividend for the half-year (vs S$0.92 a year ago), bringing the full-year dividend to S$1.56 per share, or a payout ratio of about 50%. Read our analysis  here.
• OCBC said 4Q2025 net profit rose 3% year on year to S$1.75 billion, helped by a jump in non-interest income. The result beat the S$1.72 billion Bloomberg consensus. OCBC also declared a final dividend of S$0.42 per share, up from S$0.41 a year earlier. Read our analysis here.
• Singapore Airlines’ Q3 FY2026 operating profit rose 25.9% YoY to S$792m on record revenue of S$5.5b (+5.5%), but net profit fell 68.9% to S$505m due to the absence of a S$1.1b one-off gain from the Vistara disposal booked a year ago. The group’s share of associated companies’ losses widened to S$178m (+S$163m), mainly from recognising a full quarter of Air India losses, even as passenger volumes grew 6.3% to 10.9m with passenger load factor at 87.5%. Read more here. Read more here.
• Seatrium reported a 48.3% rise in 2H net profit to S$179.3 million, up from S$120.9 million a year ago. The company said the gains were driven mainly by higher revenue recognition, a larger share of profit from associates, and lower net finance costs, partially offset by higher tax expenses. Read more here.
• Yangzijiang Shipbuilding reported 2H2025 net profit of 4.5 billion yuan (S$827.4 million), up 24.6% from 3.6 billion yuan a year earlier. H2 revenue rose 15.8% to 15.6 billion yuan, supported by more vessel deliveries, steady construction progress and higher newbuild prices. The group also cited stronger contributions from other segments, including raw material sales to Tsuneishi Group (Zhoushan) Shipbuilding, its 34%-owned associate. Read more here.
• City Developments (CDL) reported a sharp rebound in 2H FY2025 earnings, which surged 374% year on year to S$538.5 million, lifting EPS to S$0.598 (from S$0.121). 2H revenue rose 11.1% to S$1.9 billion, with CDL saying all business segments improved over the period. The board proposed a S$0.25 final dividend (payable May 19, record date May 4). Including the S$0.03 special interim paid in Sep 2025, total FY2025 ordinary dividend is S$0.28 per share, implying a 40% payout ratio. Read more here.
• Wilmar’s H2 FY2025 net profit jumped 38.3% YoY to US$815.9m on slightly higher revenue (+3% to US$37.5b), driven mainly by stronger feed and industrial products performance, alongside a US$1.14b non-operating gain from remeasurement of its stake in associate AWL Agri Business. Despite the earnings lift, Wilmar proposed a final dividend of S$0.10, taking FY2025 total dividends to S$0.14 per share (FY2024: S$0.16), and guided that 2026 operating conditions are expected to “remain challenging.” Read more here.
• Venture Corporation reported a 6.1% decline in 2H FY2025 earnings to S$114 million, from S$121.4 million a year earlier. The group said 2H revenue fell 5.8% to S$1.3 billion (from S$1.4 billion), mainly due to softer demand in lifestyle consumer technology as product replacement slowed with improved product reliability. Read more here.
• Hong Leong Asia’s H2 FY2025 net profit rose 48.6% YoY to S$56.8m on a 26.2% increase in revenue to S$2.5b, and the board proposed a final dividend of S$0.03, taking FY2025 dividends to S$0.05 per share (FY2024: S$0.04). Management flagged mixed domestic demand but expects China Yuchai (48.7%-owned) to benefit from rising demand for advanced engines for data centres and export growth, even as R&D expenses rose 45.4% to S$159.1m in the half. Read our analysis here.
• Pan-United reported 2H25 revenue which increased 16% year-on-year to S$497.3 million, while net profit increased 35% to S$30.1 million. Read our analysis here.
• Raffles Medical Group reported a 21.7% rise in 2H2025 net profit to S$38.5 million, up from S$31.6 million a year earlier. The healthcare provider said the improvement was driven mainly by stronger performance in its hospital services and insurance businesses, as well as fair value gains on investment properties, according to its Feb 23 statement. Read more here.
• Centurion Accommodation REIT posted its first results since listing, delivering DPU of S$0.01739 for Sep 24–Dec 31, 2025, beating its forecast by 6.7% as revenue came in 3.4% above forecast at S$50.7m on higher Singapore rental rates and better-than-expected occupancy. Distributable income was also 6.7% ahead at just under S$30m, with the DPU to be paid on 31 Mar, implying an annualised yield of 5.8% based on S$1.11 as at end-Dec 2025. Read our analysis here.
• Digital Core REIT is shifting from a largely defensive stance to an “offensive” growth strategy, after nearly a year spent addressing a major vacancy in its portfolio. The data centre REIT is now targeting a step-change in scale, aiming to double its US$1.8 billion asset base and market capitalisation over the next three years, supported by capital recycling and sponsor-backed deals. Read more here.
• OUE REIT will acquire a 19.9% stake in Sydney’s 55-storey Salesforce Tower for S$175m. The 99.2%-occupied freehold CBD asset (tenants include Salesforce, TikTok and JLL; WALE 6 years) will be funded via a mix of debt and partial proceeds from the Lippo Plaza Shanghai divestment, lifting portfolio value from S$5.8b to S$6.1b and adding ~5.1% Australia exposure. Read more here.

Source: Bloomberg, CNBC, Business Times, Edge Singapore

💡 The Big Important Story

3 Singapore blue chip stocks with dividend yields of above 5%

We look at three Singapore blue chip stocks with dividend yields above 5%, and find out if they are good options to generate passive income.

🤓 What we're looking out for next week

• Monday, 2 March 2026: Singapore Savings Bonds (SSB) applications open, Centurion Accommodation REIT ex-dividend
• Tuesday, 3 March: SIAS Corporate Connect with KORE US REIT, CapitaLand India Trust ex-dividend
• Friday, 6 March 2026: US Non Farm Payroll data, Daiwa House Logistics Trust ex-dividend

Get the full list of stocks with upcoming dividends here. 

Source: SGX, Bloomberg, Refinitiv

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