MAS Singdollar policy tipped to be in neutral gear for a while
Singapore
THE Singapore dollar nominal effective exchange rate (SGDNEER) path may not return to appreciation bias until as late as 2022, analysts say.
But punters may already be betting on the SGD, with HSBC currency strategist Joey Chew dubbing the market "emboldened by diluted forward guidance". Commentators believe the SGD could end the year against the greenback at 1.35 or 1.36, strengthening again to 1.31 or 1.32 by end-2021.
This is even as the Monetary Authority of Singapore (MAS) both warned of weak underlying economic growth momentum and expected inflation to stay subdued in the year ahead - despite hopes of a return to mild positivity for core inflation.
Singapore's central bank kept its monetary policy settings unchanged at a half-yearly review on Wednesday, while signalling that its neutral stance is likel…
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