Baht weakened to 33.0325 per US dollar
People walk at the central business district in Singapore on July 14, 2020. (File photo: Reuters)
SINGAPORE — Singapore stocks raced to a record high on Tuesday after the city-state lifted its annual growth forecast on an AI-powered boost, while rising oil prices and fading peace-deal hopes kept Southeast Asian currencies under pressure.Singapore's FTSE Straits Times Index rose as much as 1.3% to a record high of 5,774.21, putting the benchmark on track for a third straight session of gains.
The trade ministry raised its 2026 growth forecast for Singapore to 4.5%-5.5% from 2.0%-4.0% on a stronger-than-anticipated global artificial intelligence (AI) investment boom and a milder impact from the Iran war. The revision comes alongside a gross domestic product (GDP) expansion of 5.9% in the second quarter, higher than advance estimates.
"The growth upgrade is supportive for Singapore equities because it reinforces the earnings outlook for cyclical sectors and confirms that the economy is benefiting from stronger AI-related investment activity," said Gary Tan, a portfolio manager at Allspring Global Investments.
