0815 GMT [Dow Jones] Singapore bank DBS (D05.SG) is facing “persistent challenges,” particularly in its exposure to the oil and gas sectors that “underpin the negative outlook on its credit ratings,” write analysts at Moody’s in a note on Wednesday. DBS reported a higher nonperforming loan ratio in the first half of the year, fueled in part by its exposure to Swiber, the troubled offshore oil services company. DBS’s NPL ratio for its oil and gas services loans was 8.7% for the first half of the year, up from 1.3% at the end of last year. Still, Moody’s says the “deterioration in the bank’s asset quality and profitability” lies “within the parameters of its ratings.” (julie.steinberg[a]wsj.com)
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