Trading surge in Singapore as a result of U.S. elections

Trading activity among Singapore investors has surged sharply after Donald Trump won the U.S. presidential election. Many investors shifted toward sectors expected to benefit from Trump’s policies.

Data from leading brokerages revealed a substantial spike in trading volume. Tiger Brokers reported an 84% jump in trading orders the day after the election, up 51% compared to October’s average. Other trading platforms also saw heightened activity. FSMOne.com noted a 75% rise in daily turnover, reflecting growing interest in U.S. and Singapore markets.

Key stocks driving this trading boom include Tesla, Coinbase and Trump Media, with volume increases of 265%, 343% and 82%, respectively, the next day after the election. Tech giants like Nvidia and Amazon also drew considerable attention, alongside the SPDR S&P 500 ETF Trust, indicating a broad-based market response.

Financial sector stocks have been significant beneficiaries, with expectations of prolonged higher interest rates strengthening Singapore’s banking sector. Analysts anticipate continued gains for local banks due to favorable rate outlooks and potential share buyback programs. Meanwhile, real estate investment trusts (REITs) have faced downward pressure from the same rate environment.

Cryptocurrency-related assets have seen renewed interest, particularly among first-time investors. Moomoo Singapore noted a 258% increase in spot crypto product trading. Other crypto-linked stocks and ETFs experienced similar surges, driven by expectations of deregulation and favorable tax policies in the U.S.

Energy stocks are also in focus. Trump’s preference for conventional energy over renewables suggests potential gains for oil and gas companies. Increased U.S. production may stabilize oil prices, benefiting transportation firms like ComfortDelGro and Singapore Airlines. However, shipping firms could face challenges if tariffs on Chinese imports return.

Analysts foresee sustained market volatility under a Trump administration, likely boosting trading activity. Singapore’s stock exchange may see particular resilience in banking stocks, driven by higher yields and a stronger U.S. dollar.