Singapore shares end lower as local banks decline; STI falls 1.4%

[SINGAPORE] Singapore stocks ended lower on Monday (Nov 2).

The benchmark Straits Times Index (STI) lost 1.4 per cent or 72.91 points to finish at 5,303.83.

Jardine Matheson Holdings (JMH) led the gainers on Singapore’s blue-chip index, rising 2.1 per cent or US$1.21 to US$58.88.

The worst performer among STI constituents was OCBC , which fell 3.3 per cent or S$0.97 to S$28.32.

The other local banks also ended lower. DBS lost 1.9 per cent or S$1.42 to S$71.71 and UOB was down 1.7 per cent or S$0.71 at S$40.66.

Within the iEdge Singapore Next 50 Index, CSE Global was the top gainer, rising 4 per cent or S$0.035 to S$0.91, while Sheng Siong was the biggest decliner, falling 9.4 per cent or S$0.25 to S$2.42.

THE BUSINESS TIMES INSIGHTS

Powering Asean's Future 2026

Find out how enterprises are navigating power constraints and sustainability targets

ACCESS THE INSIGHTS

Across the broader market, gainers trailed losers 276 to 310, after 935.9 million securities worth S$2.4 billion changed hands.

Addvalue Tech was the most actively traded stock with 26.9 million shares changing hands. DBS was the most actively traded stock in terms of value, with 11.1 million shares worth S$793.6 million traded.

Key regional indices were mixed. Hong Kong’s Hang Seng Index edged up 0.4 per cent, Japan’s Nikkei 225 fell 0.3 per cent, South Korea’s Kospi gained 2.2 per cent and the FTSE Bursa Malaysia KLCI advanced 0.2 per cent.

SEE ALSO

Sheng Siong shares continue last week’s slide, fall over 9% to hit one-year low

Great Eastern Q3 profit falls 72% to S$102.9 million on weaker valuations, divestment loss

OCBC leads bank losses as STI slides 1.4%

Jefferies analysts Joanna Cheah and Ang Wei Han expect DBS to remain relatively better positioned given its deposit franchise, while OCBC and UOB could face greater pressure from deposit repricing.

In a Monday report on the Monetary Authority of Singapore’s September 2026 statistics and its implications on the trio of local banks, the two analysts noted that the data reinforces their constructive loan-growth outlook, which they believe should help offset lingering margin pressures.

Heading into Q3 results, the analysts added that their preferred picks are DBS, for earnings resilience, and UOB, where contained asset quality risks could pave the way for an earnings catch-up and valuation re-rating, they wrote.

The Jefferies analysts are unchanged on their “hold” call for OCBC, citing potential earnings headwinds from weaker Great Eastern contributions and moderation in wealth fees after what they described as an exceptionally strong Q2.

This article was written with the assistance of AI and reviewed by a reporter