The Singapore stocks to watch during the Trump-Kim summit

There’s more than one way to play the Trump-Kim summit in the world of stocks. Apart from the obvious North Asian and US equities, there’s another geography investors can consider: Singapore – and its consumer stocks, to be precise.

The city state’s Sentosa Island will host the historic summit on Tuesday, where US President Donald Trump aims to persuade North Korean dictator Kim Jong-un to give up his country’s nuclear arsenal in exchange for relief from US economic sanctions.

While heightened security during the event could disrupt both tourist and local spending, hotels and restaurants still stand to benefit from the sheer number of visitors, and positive sentiment could spill over into the medium term, some analysts say.

The event should generate “a hoohah” in Singapore, and “tourism as well as the consumer sector will likely see a lift” thanks to the influx of international media, said Jarick Seet, head of small- and mid-cap research at RHB Research Institute Singapore Pte.

Shares of Shangri-La Asia Ltd., which trades in Singapore and Hong Kong, advanced last week as more summit details emerged, including Singapore’s public order establishing a special zone around its flagship hotel for the summit.