Stock selloff deepens and T-bill yields slide on recession worries: Weekly Market Recap

In my conversations with investors, I often hear how difficult it can be to build confidence in investing. 

After all, investing can be unpredictable. This week, US stocks continued to slide on recession fears, and Chocolate Finance halted instant withdrawals due to "high demand."

Meanwhile, returns on safe assets are slipping. The 6-month Singapore T-bill yield dropped to 2.56% this week, the lowest since June 2022.

I’ve been comparing T-bills, fixed deposits and SSBs to find the best place to park cash, but it’s getting harder to get returns above 3% with these lower-risk assets.

Does this mean we need to take more on more risk to protect our portfolios against inflation? And if so, how can we do it with confidence?

For me, the key to gaining comfort in any investment is understanding what I’m putting my money into. 

That’s something many of you also shared in the SIAS-Beansprout Investor Pulse Survey. One of our findings is that access to research and expert insights can make a difference in making informed decisions.

My biggest takeaway? Know what you’re investing in, because growing your knowledge is the first step to growing your wealth.

Happy growing!

Gerald, Founder of Beansprout

⏰ This Week In Markets

🔻Sell-off deepens

What happened? 

US President Donald Trump pressed ahead with new tariff announcements, adding to ongoing uncertainty over US trade policy.

This fueled concerns about economic growth and heightened recession fears, especially after Trump described the US economy as being in a 'period of transition.'

What does this mean?

Meanwhile, US consumer sentiment continued to slide, with the University of Michigan Index of Consumer Sentiment dropping 11% month-over-month to 57.9. This marks the third consecutive monthly decline, bringing the index 22% lower than its December 2024 level.

At the same time, year-ahead inflation expectations jumped to 4.9% from 4.3% in the previous month, reaching their highest level since November 2022.

Why should I care? 

The S&P 500 recorded its fourth straight week of losses, officially entering correction territory with a drop of over 10% from its recent peak.

Meanwhile, Chinese stocks climbed on hopes of new stimulus measures, as Beijing announced a press conference on Monday focusing on policies to boost consumption.

In Singapore, REITs rebounded as lower bond yields and rising recession concerns fueled renewed investor interest.

Learn more about Singapore REITs or find the best Singapore REIT for your portfolio. 

🚗  Moving This Week

• City Developments (CDL) executive chairman Kwek Leng Beng will be discontinuing his lawsuit against his son Sherman Kwek and six other members of the CDL board. Kwek Leng Beng will continue his role as executive chairman and Sherman Kwek will continue as group chief executive officer. Read more here.
• Sembcorp Industries’ agreement to import natural gas from Indonesia has fallen through after regulatory approval was not obtained. The agreement was first announced in September 2023 and gas delivery was anticipated to commence from 2026, had the deal gone through. Read more here.
• SingPost shareholders voted in favour of the sale of the Australian logistics business Freight Management Holdings (FMH) for A$775.9 million at an extraordinary general meeting (EGM) held on 13 March. The expected gain on disposal of FHM will amount to about $289.5 million, and part of the proceeds will be set aside for a special dividend. Read more here.
• SGX’s total securities market turnover value increased 18 per cent year on year to S$29.6 billion in February, with the benchmark Straits Times Index (STI) setting record highs on three consecutive days in the month. On a month-on-month basis, securities daily average value rose 42 per cent to S$1.5 billion, the highest since May 2022.  Read more here.
• Mapletree Logistics Trust has proposed to divest its property at 31 Penjuru Lane for $7.8 million by 2QFY2025/2026. The sale price is 6.8% above the latest valuation of $7.3 million as at Nov 28, 2024, and is intended to provide the REIT with greater financial flexibility. Read more here.

Source: Bloomberg, CNBC, Business Times, Edge Singapore

💡 The Big Important Story

Where to park your cash for higher yield? T-bills vs Fixed Deposit vs SSB (Mar 2025)

 We share the best ways to earn a yield on your cash through fixed deposits, Singapore T-bills, SSBs and money market funds.

🤓 What we're looking out for next week

• Monday, 17 March: Sasseur REIT ex-dividend
• Wednesday, 19 March: US FOMC Meeting
• Thursday, 20 March: Jardine Matheson, DFI Retail Group, Hongkong Land ex-dividend
• Friday, 21 March: NIO earnings

Get the full list of stocks with upcoming dividends here. 

Source: SGX, Bloomberg, Refinitiv

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