The interest rates for the month of August fell off the cliff as the 1-Year interest fell to 1.68% and 10-Year interest to 2.01%. This is the lowest 10-Year interest rate we have since December 2016. It seems like the long term outlook of the global economy is really not so optimistic. Note that this is the SSB rates when the Fed held their interest rates. If the Fed is going to reduce the rates later this month, imagine how much the SSBs interest rate could go further down. This makes SSBs much less attractive and demand will probably fall accordingly. Even fixed deposit rates have overtaken SSBs so perhaps it’s time to look for other options with better returns.
August 2019 Singapore Savings Bond