Stocks climb as US-Iran deal eases oil concerns: Weekly Market Recap

When it comes to building financial resilience, there are two R words that many of us probably do not like to think about.

One is recession. The other is retrenchment.

This week, one headline that stood out to me was that retrenchments in Singapore reached a 3 year high in the first quarter of 2026.

It was a reminder that while we often talk about markets, interest rates and returns, financial resilience is also about being prepared for the moments when life feels less certain.

At the same time, investors were given another reason to think harder about their cash and income plans.

The new US Federal Reserve Chairman surprised markets by suggesting that interest rates may stay higher for longer, with inflation still elevated.

Here in Singapore, the 6 month T bill yield stayed steady at 1.46% in the latest auction, even as demand surged.

So this week, we look at whether the latest Singapore Savings Bond, with a 10 year average yield of 2.11%, is still attractive. We also compare it with T bills and fixed deposits for investors who are thinking about where to park their liquidity pot.

Beyond cash, I have also been thinking more about how we can build diversified sources of income.

Earlier, we shared why we are looking beyond REITs for income opportunities. This week, we screen for Singapore blue chip stocks with dividend yields above 4%.

For investors who prefer broader diversification, we also look at Singapore listed ETFs that may help to diversify income beyond Singapore.

The uncertain inflation and employment environment has also made me think harder about retirement planning.

With Singapore’s statutory retirement age set to increase from July, we look at what this means for CPF and SRS. We also share a useful tip for SRS investors who may want to lock in their withdrawal age.

Recession and retrenchment may sound scary.

But I am reminded that resilience does not have to be built all at once.

Sometimes, it starts with taking a closer look at our four pots of wealth, and asking which one needs the most watering today.

Happy growing!

Gerald, Founder of Beansprout

⏰ This Week In Markets

📊 US-Iran deal boosts sentiment

What happened? 

The US and Iran have signed a memorandum of understanding aimed at extending the ceasefire, supporting freedom of navigation in the Strait of Hormuz, and paving the way for further peace negotiations.

The agreement is expected to extend the ceasefire by another 60 days, while both sides continue talks on more difficult issues such as Iran’s nuclear programme.

Brent crude fell by about 8% to US$80 per barrel, as concerns over a major disruption to oil supplies eased.

What does this mean?

The fall in oil prices helped to ease one source of inflation concern for investors.

This matters because the US Federal Reserve left its benchmark interest rate target range unchanged at 3.50% to 3.75%, but continued to signal that inflation remains a key focus.

The Fed also raised its median headline PCE inflation forecast for 2026 to 3.6%, from 2.7% in its March projections.

Fed Chairman Kevin Warsh indicated that the central bank is still focused on keeping inflation under control, and is not in a hurry to cut interest rates.

Why should I care?

The S&P 500 index rose 0.9% for the week, while the tech-heavy Nasdaq Composite increased 2.4%. 

The US 10-year Treasury yield stayed elevated at around 4.5%, even as concerns over the Middle East conflict eased and oil prices fell. 

In Asia, the Hang Seng Index continued to decline as weak China macro data raised concerns on China’s economic momentum.

In Singapore, the Straits Times Index (STI) closed higher, rising 3.3% for the week, led by SATS, Yangzijiang Shipbuilding and Singapore Exchange .

🚗  Moving This Week

• Singapore Airlines Group reported a 4.9% year-on-year increase in passenger traffic in May, while passenger capacity grew 5.3%. The group carried 3.6 million passengers during the month, up 5.2% from a year earlier, with an overall passenger load factor of 86.0%. Passenger traffic at Singapore Airlines rose 3.4%, while budget carrier Scoot achieved a passenger load factor of 91.2%. Read more here
• Jardine Matheson has pledged to grow its dividend by at least 5% annually through to 2030. The group also launched a US$500 million share buyback programme as part of its plans to improve shareholder returns. These targets were announced at its first Investor Day in Hong Kong, as Jardine Matheson looks to shift from a traditional owner-operator model towards a more return-focused investment company. Read more here
• Keppel has leased a fourth fibre pair on its Bifrost Cable System to an unnamed global technology company, leaving only one of the system’s five fibre pairs available. The company said it is in active discussions for the final fibre pair, following an earlier 25-year agreement with Telstra. Keppel expects the project to generate recurring income over 25 years and achieve an internal rate of return of about 30% for the overall Bifrost investment. Read more here
• Mapletree Pan Asia Commercial Trust has priced S$200 million of senior green notes at 2.53%, with the bonds maturing in June 2033. The proceeds will be used to finance or refinance eligible green projects under the REIT’s green finance framework. The issuance follows a similar S$200 million green bond offering about 10 months earlier, while Moody’s assigned the notes a Baa2 rating, in line with MPACT’s issuer rating. Read more here
• Centurion Corporation has acquired a 25% stake in a 182-bed purpose-built student accommodation (PBSA) project in Perth for A$250,000, marking its second student housing investment in the city. The development, located next to the University of Western Australia’s Crawley campus, is expected to be completed in 2Q2027 and will be operated under Centurion’s Epiisod student accommodation brand. Read more here
• Elite UK REIT plans to acquire five government-leased properties in the UK for £31.9 million and invest £19 million to convert its Lindsay House property in Dundee into purpose-built student accommodation. The manager expects the transactions to be 1.3% accretive to distribution per unit, increasing pro forma DPU from £0.03011 to £0.03051 based on FY2025 figures. The move supports the REIT’s strategy of enhancing portfolio income and diversifying into higher-growth asset classes. Read more here

Source: Bloomberg, CNBC, Business Times, Edge Singapore

💡 The Big Important Story

3 Singapore blue chip dividend stocks yielding above 4% in June 2026. What to watch before buying for income

We look at 3 Singapore blue chip dividend stocks yielding above 4% in June 2026, and whether their payouts appear sustainable for income investors.

🤓 What we're looking out for next week

Key dates

• Tuesday, 23 Jun:  Elite UK REIT ex-dividend date
• Wednesday, 24 Jun: Micron results
• Thursday, 25 Jun:  Singapore Savings Bond (SSB) application closing date, Soon Hock Enterprise ex-dividend date, US PCE prices

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

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