DBS Reaches Record High of S$52.75 While STI Climbs to Historic Peak of 4,346.68 Points

DBS Group Holdings achieved a historic milestone on Wednesday (Sep 10), with shares reaching an unprecedented high that contributed to the Straits Times Index (STI) setting a new record as market participants remained optimistic about Singapore's initiatives to reinvigorate the domestic equity market.

The banking giant's stock price surged approximately 3.7 per cent from the prior session's close, touching S$52.75 as of 11.35 am. Meanwhile, the STI advanced 1.1 per cent, gaining nearly 50 points to establish fresh highs at 4,346.68 points.

In the previous trading session, DBS concluded at S$50.88, with the STI finishing at 4,297.57 points. Year-to-date performance shows the benchmark index has gained 14.7 per cent, while DBS shares have appreciated nearly 20 per cent during the same period.

The financial institution delivered second-quarter net profit of S$2.82 billion, representing a 1 per cent year-on-year increase that exceeded the S$2.79 billion consensus estimate from a Bloomberg survey covering six analysts.

Market participants and analysts maintain positive sentiment toward Singapore's stock exchange – particularly regarding its blue-chip constituents – extending beyond mere index gains and share price appreciation.

Trading activity on the Singapore Exchange demonstrated significant improvement, with securities volume surging nearly 60 per cent from June to reach 39 billion units in July. This coincided with the Monetary Authority of Singapore's decision to deploy S$1.1 billion across three asset management firms for Singapore equity market investments.

This initiative forms part of the comprehensive S$5 billion Equity Market Development Programme (EQDP) designed to enhance market liquidity and rebuild investor sentiment.

During the same month, JPMorgan analysts revised their STI projection upward, establishing an optimistic year-end target of 5,000 points. The upgrade reflected expectations of declining interest rates, favorable tariff-related developments, and advancement of the EQDP framework.