Weekly recap: T-bill yield steady but SSB interest rates fall

By Beansprout • 06 Jan 2024 • 0 min read

Singapore T-bill yield remained high while SSB interest rates fell further

what happened in the markets 6 jan 2024
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Happy new year! 

We started 2024 by checking the latest fixed deposit rates, which indicated that most banks maintained or lowered their interest rates in January.

This may not come as too much of a surprise, as bond yields have been falling in recent months. 

Likewise, the latest Singapore Savings Bond (SSB) offers a lower interest rate compared to the previous issuance. 

Thankfully, the cut-off yield on the latest 6-month Singapore T-bill has remained steady at 3.74%

With the mixed interest rate signals, we’d be looking at the upcoming US inflation data to determine if the Fed might really cut interest rates soon.

what happened in the markets 6 jan 2024
Source: Bloomberg. Price as of market close on 5 Janaury 2024


What happened? 

Minutes from the Federal Reserve’s December meeting suggest that circumstances might warrant keeping the interest rate at the current level longer than is anticipated. 

What does this mean?

Investors moderated expectations of an interest rate cut in March following the release of the minutes. 

According to the CME Fedwatch Tool, the probability of a Fed rate cut in March fell to 62% from 73% a week ago. 

Why should I care? 

US stocks fell for the first time in 10 weeks with lower expectations of a significant rate cut. 

At the same time, bond yields bounced with the US 10-year government bond yield rising to above 4% once again. 

To find out if the interest rate for the next SSB may be higher, check out our latest SSB interest rate projection.


SSB 10-year return falls further to 2.81%. Still worth buying?

The latest Singapore Savings Bond (SSB) offers a 1-year return of 2.72% and a 10-year average return of 2.81%. We find out if it is still worthwhile applying for SSBs.

ssb singapore savings bond jan 2024



  • DBS has obtained regulatory approvals to increase its existing stake in Shenzhen Rural Commercial Bank. Following the approval, DBS’s stake is now at 16.7%, up from the 13% it first acquired in October 2023.
  • Seatrium has won a contract by Shell to construct a deepwater new build project, following a letter of intent signed in August last year. Separately, Seatrium’s S$250 million wind farm contract was canceled by Empire Offshore Wind, a joint venture between Norwegian state-owned energy company Equinor and oil giant BP, due to “significant macroeconomic conditions” impacting the project. 
  • Keppel REIT’s office building in Tokyo, KR Ginza II, has achieved full occupancy compared to 36.3% occupancy at acquisition, following the introduction of two new tenants at the start of 2024.
  • The founder and CEO of NYSE-listed TDCX has made a non-binding proposal to take the company private at US$6.60 per share, a 37% premium to its closing price on 2 Jan.
  • Apple’s share price fell after two brokers downgraded the stock due to concerns of lacklustre iPhone sales and weak sales in other hardware categories. 

Source: Bloomberg, CNBC, Financial Times, Business Times, Edge Singapore


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Source: Bloomberg, SGX 


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