DAILY MORNING NOTE | 10 December 2025
Recent Podcasts:
Nvidia 3Q26 Results
Sea Ltd. – All rounded growth continues
Shopify Inc. – Solid execution, but valuation still stretched
***Dear Valued Clients, the last day of Phillip Morning Note issuance will be on 15 December 2025. Morning Note will resume on 2 January 2026***
Stocks in Singapore ended higher on Tuesday amid a mixed showing by regional peers. The local benchmark gained 0.1% to finish at 4,513.24. Meanwhile, the iEdge Singapore Next 50 Index lost 0.6% to 1,436.58. DFI Retail led the gainers, rising 1.5% to end at US$4.07. The worst performer was UOL, falling 1.8% to close at S$8.42.
The S&P 500 ended Tuesday’s session slightly lower as investors anticipated that the Federal Reserve would take a hawkish tone even if it cuts interest rates this week. The S&P 500 lost 0.09% to end at 6,840.32 points, while the Nasdaq Composite gained 0.13%, to 23,577.24. The Dow Jones Industrial Average fell 0.37% to 47,564.50.
Singapore Technical Highlights
TOP 5 GAINERS & LOSERS
Events Of The Week
SG
Golden Agri-Resources, Yangzijiang Maritime Development and Centurion Accommodation REIT have been included in the iEdge Singapore Next 50 Index in the December quarterly review. The three companies have replaced Nanofilm Technologies International, Samudera Shipping Line and Aztech Global.
Singapore Post (SingPost) will increase the rate for all regular domestic mail by 10 cents from Jan 1, 2026, onwards. The new rate for standard regular mail (measuring 162mm by 240mm) and standard large mail (measuring 229mm by 324mm) will be raised to 62 cents and 90 cents respectively. Rates of domestic bulk mail used by businesses will also increase.
Shareholders of Mandarin Oriental International on Monday (Dec 8) voted in favour of Jardine Matheson’s move to delist its hotel subsidiary under a scheme of arrangement that values the company at about US$4.2 billion. The investment company said on Oct 17 that it was moving to take Mandarin Oriental private in a recommended cash offer of US$3.35 per share.
Lippo Malls Indonesia Retail Trust (LMIRT) has launched a rights issue of just over 9 billion new units to raise gross proceeds of up to approximately $63 million. LMIRT aims to use the proceeds to repay existing loans and related financial obligations, for capital expenditure and general working capital and to pay the fees and expenses incurred in connection with the rights issue.
Trendlines Group has entered into a subscription agreement with 11 subscribers for a total of 51,447,751 new ordinary shares at 6.666 cents per share. This will result in gross proceeds raised of about $3.42 million. This proposed subscription is not underwritten and there is no placement agent appointed for the purpose of the proposed subscription.
US
Alphabet’s Google said that it’s working to create two different categories of artificial intelligence (AI)-powered smart glasses to compete next year with existing models from Meta Platforms: one with screens, and another that’s audio-focused. The first AI glasses that Google is collaborating on will arrive sometime in 2026, it said on Monday (Dec 8).
Microsoft pledged to invest US$17.5 billion on artificial intelligence (AI) and cloud computing in India over four years, targeting the world’s most populous nation to help fuel its growth. Microsoft said the investment will focus on three pillars – scale, skills and sovereignty – which align with Modi’s goal of building a broad ecosystem in the country for AI innovation.
Microsoft announced a $19 billion CAD investment in Canada between 2023 and 2027, with more than $7.5 billion CAD planned for the next two years. The technology company said the funds will support new digital and AI infrastructure, with capacity expected to begin operations in the second half of 2026.
Home Depot is offering cautious preliminary guidance for next year, a sign that the home-improvement retailer doesn’t anticipate the housing market to rebound in the short term. The company expects comparable sales growth to be in a range of flat to up 2% for the year, below the average of estimates.
Spotify said on Tuesday it is making music videos available to premium subscribers in the U.S. and Canada, as the Swedish streaming giant challenges YouTube for market share. Video content offers a more immersive and engaging experience than audio alone, which could help attract more users and advertisers.
Wells Fargo plans to reduce its workforce in 2026 and is preparing for increased severance costs in the fourth quarter of 2025, CEO Charlie Scharf announced on Tuesday. Scharf shared these plans during his presentation at the Goldman Sachs Financial Services conference.
JPMorgan Chase expects expenses to climb to about $105 billion in 2026, driven largely by growth and volume related costs, consumer and community banking chief Marianne Lake said on Tuesday.
Bank of America Corporation has disclosed a 1.12% interest in Avadel Pharmaceuticals plc, according to a regulatory filing published Tuesday. The filing also reveals Bank of America maintains short positions totaling 1,035,953 shares, or about 1.064% of the company.
Source: SGX Masnet, Bloomberg, Channel NewsAsia, Reuters, CNBC, WSJ, The Business Times, The Edge Singapore, PSR
RESEARCH REPORTS
OUE REIT – Proceeds in, gearing to decline
Recommendation: BUY; TP S$0.40; Last close: S$0.3500; Analyst Hashim Osman
- OUE REIT remains supported by strong performance across its segments. The office segment has observed the flight-to-quality trend, which has contributed to strong rental reversions (3Q25: 9.3%). The retail segment is bolstered by unique F&B offerings and resilient ultra-luxury market. The hospitality segment has an optimistic long-term outlook due to its attractive sponsor pipeline, efforts to secure more MICE business, and active management of room rates.
- Net divestment proceeds of S$318mn from the sale of Lippo Plaza Shanghai have been repatriated to Singapore. Although the use of proceeds has not yet been finalised, priority will be given to debt repayment. OUE REIT has also made progress on its acquisition plan, screening opportunities in Japan and Australia. It has been indicated that Australia remains the preferred market for office assets.
- We maintain our BUY recommendation with an unchanged target price of S$0.40. There are no changes to our forecast. We believe growth opportunities will primarily come from its international acquisitions. The Sydney office segment has proved to be an attractive market with limited supply and strong demand, creating a potentially compelling entry point for OUE REIT
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