US office reits on the uptrend, is it sustainable

Overall, Reits listed in SGX have performed well in view of the coming rate cut. Today, I want to look at the US office reits in particular, as they have been beaten badly due to low occupancy rate since Covid, and the property valuation affected by the high interest rate environment.

Prime US REIT (SGX:OXMU) (PRIME) 

1. Turn long (arrow) with surge in volume

2. And this candle closed up the gap down on the left

3. Price close above 20ma

Fed hinted rate cut may start in September, sparked breakout in these asset classes

Federal Reserve Chairman Jerome Powell signalled on Wednesday that a rate cut could happen in September, as long as there is no major change or upset from the economic data. Given this confidence, market is shifting to long term  US Treasury bonds and Reits.

And on Friday, US market tumbled on fear of possible recession and some reports are also expecting a bigger rate cut coming September.

Fortunately, a few months ago when the S&P500 and QQQ indexes were performing extremely well, and as part of re-balancing, I have sold off some and move them in tranches into the Bond etfs.

Here is how to receive $5000 for your retirement

 It seems $5000 is the magic number to live comfortably for retirement in Singapore, as I have seen a few posts on this, However, one needs to know that this amount will varies as it really depends on one's lifestyle and situation.

Anyway, given this amount, how then do you achieve it for your retirement?

Before I start, here are the assumptions:

• Attained Full Retirement Sum(FRS) at 55
• Opt for CPF payout at 65
• Sum of $408,000 invested in a ETF which gives a return of 8% or more at 55
• Retire at age 65.

The amount invested will be much lower if this is shared with your spouse. as not forgetting that your spouse will also have his/her CPF payout as well.