Okay so quite a few of you have asked me about UOB this week. And I get why. UOB’s share price jumped almost 10% in 1 week, including a 4.7% gain in a single session — without any earnings result. For a stock I bought in the low S$33s when everyone hated it, this has been a satisfying ride. But all-time highs force a decision. Is UOB — still the cheapest of the 3 Singapore banks — finally catching up to DBS and OCBC? Or is this a momentum move that changes nothing about why UOB trades at a discount in the first place? In plain English — should I buy more UOB at S$44, or stick with OCBC and DBS? I want to cover 3 things:

• Why all 3 Singapore banks rallied this week?
• Whether UOB’s valuation discount is justified?
• What I am doing with my UOB position today?

All 3 bank stocks rallied this week It was not just UOB. DBS and OCBC also hit all-time highs this week....