SIA Shares Climb as Peace Talks and World Cup Boost Airlines

Singapore Airlines (SIA) had a strong week, with its share price climbing nearly 6% by June 26. Peace talks between the US and Iran in Switzerland on June 22 produced a 60-day plan toward a lasting deal. This pushed crude oil prices lower, which was good news for airlines since jet fuel is one of their biggest costs. Lower fuel prices mean airlines can keep more of the money they earn.

Before SIA reported its results on May 14, its shares sat at just $6.27, weighed down by worries about high fuel costs. The airline then reported record annual revenues driven by strong travel demand, and shares began to recover. By June 26, they had climbed to $7.65, a gain of 5.8% for the week alone.

The 2026 FIFA World Cup also helped SIA's business. The tournament runs from June 11 to July 19 across 16 cities in the US, Canada, and Mexico, sending demand for long transpacific flights soaring. SIA operates many of those long-haul routes and has benefited from the surge in traveling fans.

SIA announced it also raised about S$270 million in low-cost loans over five years. The money will go toward buying new aircraft and paying off older, more expensive debts. Saving on borrowing costs helps the airline stay financially healthy.

Risks remain, however. Iran and the US kept exchanging attacks in the Gulf during the same week, raising fears the ceasefire was breaking down. SIA's management warned that if the conflict continues, unpredictable jet fuel prices could hurt earnings in the 2026/27 financial year. Fuel is the airline's single largest expense, so price swings hit the company hard.

AI stocks had a wild week around the world. Memory chip maker Micron Technology reported stunning results on June 24, earning US$25.11 per share on revenue of US$41.46 billion — more than four times what it made a year earlier. Stocks from the US to South Korea jumped on the news, including Singapore companies AEM Holdings, Frencken Holdings, and UMS Integration.

The good mood did not last. Apple announced on June 25 that it was raising prices on its MacBook, iMac, and iPad lines by as much as US$200 to cover rising chip costs. Investors worried that pricier devices could reduce demand, which would eventually slow the memory chip market that powers the AI boom. Tech stocks fell sharply, erasing much of the week's earlier gains.

Malaysia's ringgit weakened against both the US dollar and the Singapore dollar during the week. Rising US interest rates are making American investments more attractive, drawing money away from places like Malaysia and pushing its currency lower. The ringgit traded at 3.19 per Singapore dollar on June 28, near a six-month low.

Real estate company Ohmyhome announced a major restructuring. Founders Race and Rhonda Wong are taking the Singapore property brokerage private, separating it from the US-listed Ohmyhome Ltd. The listed company, which had forgiven S$19 million in debt before completing the sale for just US$1, will now focus on digital marketing services.

Other companies also made news. Property developer Frasers Property unveiled a S$2.1 billion plan to revamp its hotel business, selling five older hotels while keeping assets with growth potential. Co-working firm JustCo dropped 10% after a tough week despite announcing a new Singapore location. Meanwhile, Nasdaq said SpaceX qualifies for the Nasdaq 100 index, meaning big index funds could start buying its shares as early as July 7.