Local banks on a winning streak

[SINGAPORE] The three local banks, among the top performers for 2013, may well continue their winning streak next year in tandem with a stronger global economy.

As proxies for positive GDP momentum, DBS Group Holdings, OCBC Bank and United Overseas Bank (UOB) are way ahead, with their share prices up as much as almost 13 per cent year-to-date.

The Straits Times Index (STI), however, is languishing; it is down 1.67 per cent so far this year.

Such positive prospects should put the banks in the limelight, said DBS Vickers bank analyst Lim Sue Lin.

"A moderate 2014, but we are at least assured of stability and safety, possibly even positive surprises," noted Ms Lim.

"While banks have generally guided for high single-digit loan growth in 2014, there is room for upside surprises, given the positive outlook on the global front, which should pair nicely wit…