Stocks decline as T-bill yields and oil price climb: Weekly Market Recap

“Give me my money back.”

That was what one South Korean investor reportedly wrote after the sharp correction in Korean shares.

The sell off was made worse by leveraged ETFs and concentrated bets on semiconductor stocks. It is a reminder that chasing faster returns can also mean taking losses we are not prepared for.

I think many of us can relate to the desire for quick results from investing. But the real power of investing usually comes from something less exciting: staying invested and giving our money time to compound.

That takes patience, discipline and a portfolio that allows us to stay the course when markets become volatile.

This is why we introduced Beansprout’s Four Pots of Wealth. Higher conviction ideas can sit within the Opportunity Pot, but with a clear fence around them. This gives us room to pursue opportunities without putting the rest of our portfolio at risk.

What happens in markets elsewhere can also affect what we own here in Singapore. This week, we explain what the KOSPI is, and what investors should watch next with the recent correction.

Of course, a sound portfolio starts with taking care of our safety net.

The one year T bill yield recently jumped to 1.68%. We look at what this could mean for the upcoming six month T bill auction on 30 July. We also find out if it's worth applying for the latest Singapore Savings Bonds (SSB) which offers a 10-year average interest rate of 2.06%.

For investors looking to build their income, we also examine the 20 year green Singapore Government Securities bond offering a yield of 2.4%, as well as three Singapore blue chip REITs yielding above 5%.

Finally, CPF remains an important foundation for our retirement adequacy. We look at what the recent increase in the retirement age could mean for our CPF, SRS and broader retirement plans.

For me, investing should give us more choices over time, not more anxiety. The aim is to build a portfolio that supports our income, our goals and the retirement we want.

Happy growing!

Gerald, Founder of Beansprout

⏰ This Week In Markets

📊 Singapore stocks climb to new highs

What happened? 

Geopolitical tensions remained in focus as hostilities in the Middle East continued and ceasefire negotiations appeared to stall.

Meanwhile, President Donald Trump announced new tariffs of up to 12.5% on several major trading partners, adding to uncertainty over the global economic outlook.

Oil prices rose sharply in response to the geopolitical risks, with Brent crude climbing 10% to US$98 per barrel. This raised concerns that inflation could remain elevated.

The US 10 year Treasury yield also rose above 4.7% for the first time since early 2025, as investors priced in the risk of higher inflation and interest rates remaining elevated for longer.

What does this mean?

Investors weighed strong corporate earnings against rising geopolitical tensions and higher Treasury yields.

Of the 133 S&P 500 companies that have reported so far, 87% exceeded earnings estimates. However, investors are paying closer attention to how much companies are spending to support future growth.

Alphabet shares fell 7% despite strong growth in Google Cloud and AI related demand. The company raised its capital expenditure forecast for this year by around 8% and expects spending to increase significantly again next year. Alphabet also reported negative free cash flow in the second quarter of 2026 for the first time, adding to concerns about the near term returns from rising AI investment.

What we are watching

Attention will turn to the Federal Reserve’s upcoming policy meeting, where investors will look for clues on the timing of future interest rate cuts.

The busiest period of earnings season also continues. Microsoft, Meta Platforms, Amazon and Apple are due to report, offering further insight into AI spending trends and the outlook for corporate profits.

Why should I care?

The S&P 500 fell 0.6% over the week, while the technology focused Nasdaq Composite declined 2.1%. Concerns about AI spending and semiconductor demand weighed on technology shares.

Singapore’s Straits Times Index moved in the opposite direction, gaining 1.6% to reach a new record high. This was supported by continued strength in the local banks, which are due to report their second quarter 2026 results in early August.

In our latest Beansprout Pro report, we examine what the latest US bank results signal for DBS, OCBC and UOB and compare their valuations with three major international banks.

Read Beansprout's house view on why Singapore stocks are worth looking at in 2026.

🚗  Moving This Week

• Keppel DC REIT reported a stronger first half, with DPU rising 11.3% year on year to 5.714 cents. Distributable income grew 18.5% to S$150.7 million, supported by positive rental reversions, rental escalations and recent acquisitions in Tokyo and Singapore. This was partly offset by higher finance costs and the loss of income from the divested Kelsterbach Data Centre. Portfolio occupancy stood at 92.5% as at 30 June, while portfolio WALE was extended to 6.7 years after renewals in Singapore and Australia. Read more here
• Mapletree Industrial Trust reported a 4.9% year-on-year decline in 1QFY2027 DPU, as lower contributions from divested properties, lease expiries in North America and a stronger Singapore dollar weighed on earnings. Gross revenue and net property income fell 7.7% and 8.5% respectively during the quarter. Read more here
• Mapletree Logistics Trust has proposed to divest two logistics properties in Wuxi, China to a sponsor-led RMB fund as part of its portfolio rejuvenation strategy. The divestment is valued at about S$138 million and will be treated as an interested party transaction, as the fund is led by MLT's sponsor, Mapletree Investments. Read more here
• Suntec REIT reported a 24.8% year-on-year increase in 1H2026 DPU, supported by stronger performance from its Singapore office and retail properties, as well as lower financing costs. The improvement was partially offset by weaker contributions from its London property and the absence of a one-off compensation received in the prior year. Read more here
• OUE REIT reported a 28.6% year-on-year increase in 1H2026 DPU, supported by stronger hospitality performance, contributions from Salesforce Tower and lower financing costs. The REIT also continued its portfolio optimisation with the proposed divestment of Crowne Plaza Changi Airport after acquiring a stake in Salesforce Tower. Read more here
• ESR-REIT has proposed to acquire a freehold logistics property in Melbourne for A$52.5 million, expanding its Australian logistics portfolio. The fully occupied asset has a WALE of 4.8 years and follows the REIT's earlier proposed acquisition of five logistics properties in Melbourne. Read more here
• The Singapore Exchange (SGX) announced Singapore Depository Receipts (SDRs) for three companies listed in the US, including Grab, Sea and SpaceX. These will be the first US SDRs available on SGX, which currently has 35 blue-chip names across Hong Kong, Indonesia and Thailand listed. Investors will be able to buy the US SDRs from July 22 through their local brokerage firms. Learn more about SpaceX US SDR here. 

Source: Bloomberg, CNBC, Business Times, Edge Singapore

💡 The Big Important Story

Retirement age raised to 64. How this affects your CPF, SRS and investments

Singapore’s retirement age is now 64. Find out how CPF, SRS and investments can support retirement adequacy and strengthen your retirement plan.

🤓 What we're looking out for next week

Key dates

• Monday, 27 Jul: Frasers Centrepoint Trust, Raffles Medical earnings
• 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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