0710 GMT - The Singapore dollar is likely to maintain its resiliency despite the Federal Reserve moving into a tightening phase, UOB strategists say in a report. The Monetary Authority of Singapore tightened policy twice this year, raising the rate of appreciation of the Singapore dollar nominal effective exchange rate band to about 1.25% per annum. "This appreciation bias functions as an automatic stabilizer for the [Singapore dollar]," UOB says. Singapore's exchange rate-based monetary policy also provides a structural buffer against headwinds of renewed U.S. dollar strength, it adds. The U.S. dollar is 0.1% lower at 1.2781 Singapore dollars, LSEG data show.
At the request of the copyright holder, you need to log in to view this content
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Comments