MAS has released the latest SSB Jun 2026 (SBJUN26 GX26060N): the first-year rate is 1.46%, and the 10-year average rate is 2.11%. The 10-year average rate is slightly lower than last month’s, but remains respectable above the 2% mark. Should we consider this month’s offering given that we are in the midst of a rate-cut cycle?
SSB Jun 2026 Details
The SSB Jun 2026 offers rates similar to those in the previous issue, with returns starting at 1.46% in the first year and averaging 2.11% over 10 years.
SSB rates have been declining amid the ongoing rate-cut cycle, but have recently seen a bump. Recent geopolitical developments in the Middle East, especially tensions among Israel, the US, and Iran, may be driving rates higher. Higher energy prices due to disruptions in the Straits of Hormuz could fuel inflation, making it less likely that interest rates will be cut in the near term.
If you’re planning to subscribe to this month’s SSB, here are the key dates to note:
| Opening date | 04 May 2026, 6 PM |
| Closing date | 25 May 2026, 9 PM |
| Allotment date | 26 May 2026, after 3 PM |
| Issuance date | 02 Jun 2026 (by end of day) |
How Competitive Is It?
We can see from the chart that SSB rates have been trending downward over the past few years, so the recent uptick is a slight breather for the market.
That said, zooming out shows a different picture; rates throughout 2023–2024 were noticeably higher. With that context, the SSB May 2026 offering doesn’t really stand out as particularly attractive historically. However, if you have yet to fill your desired SSB allocation, this month can definitely be a decent option given the slightly higher rates in recent months.
Future Rates Projection
We can make an educated guess about where interest rates might be headed by looking at both the Fed’s outlook and market pricing. At the April FOMC meeting, the Fed chose to hold rates steady, signaling that it will stay data-dependent before making any further moves.
The market seems to agree with the Fed’s view. Expectations have shifted quite a bit. With rising geopolitical tensions in the Middle East, markets have dialed back their bets on rate cuts, now pricing in no cuts for this year or even the next.
In the long run, SSB rates tend to follow movements in these benchmark interest rates. Given the expectation of no near-term rate cuts, we can also expect SSB to remain at current rates.
Given that these rate projections are primarily influenced by the tensions in the Middle East, we should anticipate continued volatility. These rates will likely fluctuate as those geopolitical developments unfold.
How About Next Month’s Rate?
In general, a useful way to gauge where SSB rates might head next month is by watching the Singapore government 10-year bond yield in the market, since the SSB’s 10-year average rate tends to move in tandem with it.
The chart shows that the rates have been steady recently, hovering around those we saw in the past two SSB offerings. Should this trend persist, we can expect SSB rates to remain around current levels next month.
However, we are still early in the month, and rates may continue to fluctuate, especially amid ongoing developments in the Middle East.
So, please take this guess with a grain of salt 🙂
What Do We Do?
We like SSBs for their flexibility; you can lock in rates for up to 10 years while still redeeming monthly with accrued interest.
Back in 2023, we migrated most of our short- to medium-term cash into SSBs to capture those higher yields for the long run.
Given that the SSB Jun 2026 issue offers lower rates than those we already hold, we will not participate in this round.
Will you be participating this month? If so, you may follow our step-by-step guide to buying SSB.
