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The Week Ahead DBS, UOB And OCBC

It’s a big week for earnings with Singapore’s three big banks and two giants from the property sector set to report.

Geopolitical and economic headwinds had no impact on third-quarter results at DBS Group (SGX: D05). However, Singapore’s biggest bank did miss market forecast when it posted numbers in November.

But Oversea-Chinese Banking Corporation (SGX: O39) topped forecasts when it reported a 12% jump in third-quarter profits. That was thanks to a rise in net interest income as a result of growth in customer loans.

United Overseas Bank (SGXU11) also chimed in with a surge in quarterly profits last time. Earnings climbed 14% on strong loan growth and an improvement in net interest margin.

In November, CapitaLand (SGX: C31) reported a 13.6% rise in third-quarter profits. The property developer said it had benefitted from contributions from investment properties in Singapore, China and Germany.

Not to be outdone, City Developments (SGX: C09) said third-quarter profits climbed 10.4% on a 17.7% jump in revenues. The company said performance was underpinned by property development from both local and overseas projects.

Wilmar International (SGX: F34) said in November that it expects most of its operations to continue to do well in the fourth quarter. In the third quarter, the farmer said profits rose 10.7% thanks to better performances at its tropical oils and oilseeds and grains business.

There are also results from Genting Singapore (SGX: G13), Sembcorp Industries (SGX: U96) and Venture Corporation (SGX: V03).

On the economic front, the European Union is expected to confirm that the rate of inflation in January has been subdued in the economic bloc. Prices are expected to have risen 1.4% year on year in a January.

Meanwhile, core inflation in Japan could have edged up to 0.8% in January. The number is well below the Bank of Japan’s target of 2%. Elsewhere, India’s inflation rate could have edged up to 2.48%.

Indonesia’s central bank will announce its latest interest-rate decision on Thursday. It is unlikely to cut its benchmark rate from 6%. But it could provide more liquidity.

Thailand will report its economic growth rate for the final quarter of 2018. In the third quarter, its gross domestic product grew 3.3% year on year. It was the weakest growth rate since the fourth quarter of 2016.

And finally, Singapore will report inflation numbers for January. In December, the annual inflation rate was 0.5%.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore Director David Kuo owns shares in DBS, OCBC and UOB. The Motley Fool SIngapore has recommended DBS, UOB, OCBC, CapitaLand and City Developments.