Chart comparison of Singapore 3 month SOR and 3 month SIBOR rates
These charts are overlay to compare relative performances. The scales and prices shown in the charts are not indicative of the actual rates. These charts will be updated on the first of every month.
Past month chart
3 month SOR has been moving up since end of April 2012 while 3 month SIBOR has been very stable.
Past 12 month chart
3 month SIBOR has remained very similar and stable, judging from the obvious straight horizontal price line. 3 month SOR was below 3 month SIBOR for few months which is around the June-September 2011. This is also the period where it went to negative, sparking confusion and hope from the home loan applicants that their interest rate could be reduced. However, banks clarified and put in place a minimum floor rate if 3 month SOR turns negative. From November 2011, 3 month SOR started to move up and stayed above 3 month SIBOR.
Past 5 years chart
From the early part of 2008 till 2009, the movements of 3 month SIBOR and SOR are relatively similar. The decoupling started around December 2009, with the Global Financial Crisis, QE1, etc. This also sparked an increased interest and uptake of mortgages pegged to 3 month SOR. Throughout 2009 to very recently, mortgagors with 3 month SOR-based home loans have been saving more money.
Are we seeing a reversal of the downtrend of 3 month SOR?
Will 3 month SIBOR continue to remain stable with slight fluctuations?
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