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UBS investment strategists downbeat on Singapore's property, stock markets

Published on Jul 1, 2014 5:19 PM
An office worker walks past a logo of the Singapore Stock Exchange outside its premises in the financial district of Singapore in this April 23, 2014 file photo. -- PHOTO: REUTERS 

UBS investment strategists are downbeat on the overall outlook for the Singapore stock market in the second half of this year, as they expect a softening property market to drag down local shares.

Furthermore, the ongoing restructuring of the labour market will likely curb economic growth despite a global pick-up, said UBS' head of the Asia Pacific Investment Office, Ms Tan Min Lan, in a media briefing on Tuesday.

"Historically Singapore, because it is such a small and open economy, tends to have quite a nice bounce in growth when there's a cyclical recovery," she noted.

This year, however, UBS expects the economy to expand by just under 4 per cent - unchanged from last year, when gross domestic product (GDP) rose 3.9 per cent.

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