Your bite-sized weekly update (10 Sep)

THIS WEEK IN MARKETS

Fancy an hour long queue to put your money in a fixed deposit account?

That's what Singaporeans have been doing in the past week, according to a Bloomberg report.

The headline 12-month fixed deposit interest rates of 2.75% seems to be bringing smiles to the savers amongst us. 

For those who are keen to earn a higher yield, the Frasers Property 4.49% 5-year green retail note was also actively discussed in our Beansprout community.

Whether you are looking to put your spare cash in fixed deposit, Singapore Savings Bond or a retail bond, there's no lack of options in the market today. 

If you'd like us to do better in helping you gain investment insights, do spare a few minutes to help us with this quick survey. 

It'll help us understand what else we can do to improve your financial wellness!

IMPORTANT

Source: Bloomberg. Price as of market close on 9 Sep

• Uncertainty remains. US Treasury Secretary Janet Yellen said she was optimistic that US inflation will decelerate further but warned that uncertainty remains.

• Europe in a tough spot. The European Central Bank increased its key lending rate by 0.75%, the biggest increase since the early days of Europe’s monetary union, moving aggressively to combat record inflation even as an energy crisis puts Europe on the brink of recession.

• China accelerating on stimulus. China said it will accelerate its stimulus rollout in the third quarter. At the same time, its central bank has pledged to keep the yuan stable. The PBOC cut the foreign-currency reserve ratio by 2%, a move aimed at boosting the yuan.

ICYMI

• Apple (AAPL) is bringing big changes to its new iPhone 14 lineup. The iPhone 14 and iPhone 14 Pro get improved cameras, the ability to connect to satellite communications during emergencies, car crash detection, and a new look for the Pros. Read our analysis here

• Tesla (TSLA) , the electric vehicle maker, is considering building a lithium refinery for EV batteries.

• Volkswagen (VWAGY) is intending to list the sports car brand Porsche in an initial public offering later this year, which could be one of the world’s largest listings this year.

• NIO (NIO) reported a wider-than-expected second-quarter loss and but management believes that a turnaround might be in sight. Read our analysis here

• Sembcorp Industries has agreed to sell its Sembcorp Energy India Limited unit to Tanweer Infrastructure Pte for 117.34 billion rupees (S$2.1 billion). The proposed sale will further accelerate the transformation of Sembcorp’s portfolio from brown to green energy. 

• Several banks in Singapore have rolled out promotions, with this month’s rates going as high as 2.75% for a 12-month fixed deposit. Read our analysis here.

• Frasers Property Limited launches Singapore’s first corporate green retail notes. Read our analysis here.

Source: Bloomberg, CNBC, Business Times, Edge Singapore

THE BIG IMPORTANT STORY

The best fixed deposit interest rate in Singapore still can’t beat the Treasury bill

The recent interest rates on the Singapore Treasury bill (T-bill) have been higher than the best fixed deposit interest rates offered by banks in Singapore.

WHAT’S UP THIS WEEK

Monday, 12 Sep 

• US: Oracle earnings 

Tuesday, 13 Sep 

• US: CPI Aug

Wednesday, 14 Sep 

• SG: Frasers Property green bond subscription close

Thursday, 15 Sep 

• US: Adobe earnings
• SG: 6-month T-bill auction

Get the full economic and Singapore earnings calendar on the SGX Academy

Source: SGX, Bloomberg, Refinitiv

THAT’S INTERESTING

• Fairness in everything.  Grab faced allegations by a user, Louie Lui, who said on Linkedin that he was charged a higher delivery fee as a subscriber to the GrabUnlimited plan compared to his wife who was a non-subscriber. Grab has clarified that it does not price discriminate between non-subscribers and subscribers to its GrabUnlimited plan. (Source: Mothership)