SGX - Stock calls

Date	Analyst	Company	Last	Target	Call	Valuation
05/05/23	DMG & Partners	SGX	9.59	9.8	Neutral	PER21x FY24
06/15/23	DMG & Partners	SGX	9.7	9.8	Neutral	PER21x FY24
07/04/23	Lim & Tan	SGX	9.4	9.85	Hold
07/14/23	DMG & Partners	SGX	9.57	9.9	Neutral	PER22x FY24
08/15/23	UOB Kay Hian	SGX	9.58	10.28	Hold	PER22x FY24
08/17/23	DBS Vickers	SGX	9.67	10.2	Hold
08/18/23	UOB Kay Hian	SGX	9.57	10.46	Hold	PER21x
08/21/23	phillip	SGX	9.55	11.71	Buy	PER20x
09/15/23	DMG & Partners	SGX	9.84	10.3	Neutral
09/20/23	Citi Research	SGX	9.94	9	Sell	PER19x FY24
10/23/23	DMG & Partners	SGX	9.59	10.3	Neutral
11/21/23	DMG & Partners	SGX	9.44	10.3	Neutral
12/14/23	DMG & Partners	SGX	9.57	10.3	Neutral
01/16/24	DMG & Partners	SGX	9.88	9.6	Neutral
01/18/24	UOB Kay Hian	SGX	9.64	10.42	Hold	PER21x
02/02/24	UOB Kay Hian	SGX	9.39	10.13	Hold	PER21x
02/02/24	Kim Eng	SGX	9.39	10.09	Hold	DCF
02/02/24	Citi Research	SGX	9.39	9	Sell
02/05/24	phillip	SGX	9.54	10.53	Accumulate	PER19.4x FY24
02/07/24	DMG & Partners	SGX	9.35	9.6	Neutral	PER21x
03/18/24	DMG & Partners	SGX	9.43	10	Neutral
05/20/24	DMG & Partners	SGX	9.24	10	Neutral	PER21x
05/20/24	Citi Research	SGX	9.24	10.7	Buy	DDM
06/10/24	Citi Research	SGX	9.67	10.7	Buy	DDM
06/12/24	DMG & Partners	SGX	9.57	10.4	Neutral	PER21x

Stock calls for 13 June 2024

Date	Analyst	Company	Last	Target	Call	Valuation
06/13/24	Citi Research	Mapletree Logistics	1.32	1.58	Buy	DDM & RNAV

What will the US Fed do for its June FOMC meeting? - Part 2

Just as we've expected, the US Fed has stay put on its rates.

However, the US Fed has reduced its rate cut projection to 1 instead of 3 for the year 2024.

Let's take a look what had happened.

We could tell from the summary above that the US Fed had been under estimating the PCE inflation and core PCE inflation from its March projections.

The dot plot chart showed that there would only be 1 cut in 2024 which would bring the Fed rate to 5.1%.

Why did the US Fed reduce its rate cut projection when the US inflation was inching down?

Well, this was because the sticky inflation rate was still much higher (over 4%) than the headline inflation figure.

If the PCE and core PCE inflation don't move closer to the Fed targeted 2%, there may not even be any rate cut in 2024.

US had a benign inflation in May 2024. Will this continue or it's just an aberration?

US CPI (May): 3.3%

US core CPI: 3.4%

US CPI (m-o-m): 0%

US core CPI (m-o-m): 0.2%

As we've stated before, one month data do not make a trend and the US is unlikely to repeat 0% inflation (m-o-m) in the next few months.  Thus, the US Fed will need to see a quarter data to make a decision on its rates.