0157 GMT - Singapore banks' prospects are weighed by a subdued macroeconomic outlook, RHB Research's Singapore Research team says in a note as RHB downgrades the sector to neutral from overweight. RHB Economics has reduced its 2025 GDP growth forecast for Singapore to 2% from 2.8% to reflect its base case for another 10% increase in U.S. tariffs to 20% in 2H. Slowing global growth poses risks to Singapore's banks' operating income, while softening export demand and slower economic activities will impact trade and working capital loan demand, the team adds. RHB cuts OCBC's and UOB's ratings to neutral from buy and their target prices to S$17.50 from S$19.10 and to S$37.60 from S$41.60, respectively. RHB keeps DBS's buy rating, but cuts its target price to S$47.00 from S$51.20. (ronnie.harui@wsj.com)
(END) Dow Jones Newswires
April 21, 2025 21:57 ET (01:57 GMT)
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