What happened?
An index of Singapore REITs fell in the past week, as a jump in US government bond yields and a slew disappointing earnings reports weighed on the sector. The
CSOP iEdge S-REIT Leaders Index ETF closed lower for the week at S$0.783, declining 3.0% from its close in the previous week of $0.807. The US 10-year government bond yield rose to above 4.2%, its highest level in close to three months, as investors moderated their expectations of sharp interest rate cuts by the US Federal Reserve. In Singapore, the 10-year Singapore government bond yield rose to as high as 2.93%, before easing back to 2.83% on 25 October. A number of REITS reported a sharp decline in their dividend per unit in the third quarter of 2024, driving concerns about the impact of elevated interest rates on their distributions. On the other hand, REITs with datacentre assets,...