Monetary Authority of Singapore

Turmoil in the Mideast and U.S. House of Representatives Buoys Oil and Gold but Depresses Equities and Long-Term Interest rates

October 13, 2023

Price figures continued to dominate the menu of economic data releases on Friday. Markets averted riskier assets, amid disarray in the U.S. Congress and as fears mount of catastrophic warfare in the Mideast. The Monetary Authority of Singapore left its policy stance unchanged. Equity markets fell 2.3% in Hong Kong, 1.0% in Singapore and South […] More

Investors Sensing the Beginning of the End of the Cycle of Rising Central Bank Interest Rates

April 14, 2023

The hope that central bank rates are nearing their peak continues to take some air out of the dollar’s tires. The weighted dollar index touched its lowest level overnight since April 21 of last year and so far has lost a tad over 12% since peaking seven months ago. Compared to Thursday closings, the dollar […] More

Amid Rising Inflation, Some Central Banks React and Others Do Not

April 14, 2022

The weighted DXY dollar index slid 0.3% so far today and is 0.9% below its year-to-date high hit in intraday trading yesterday. Losses of 0.2-0.3% today have occurred against the euro, yen, kiwi, loonie and sterling, while marginal upticks have occurred versus the Swiss franc and Australian dollar. Stock markets closed up 1.2% in Japan […] More

Monetary Authority of Singapore Tightens Stance

October 14, 2021

Today, the Monetary Authority of Singapore, which targets the exchange rate rather than an interest rate and which reviews its stance only semi-annually, surprised analysts by raising the slope of the S-dollar’s allowed trading band. The band had been lowered in April 2020 as Covid hit to a slope of zero percent. Officials did not […] More

Optimism Bumps Up that Recovery Can Withstand Covid, Higher Inflation, and Central Bank Tightening

October 14, 2021

Equities have experienced a better session, with higher closes in Asia of 1.5% in Japan and South Korea and 1.4% in Indonesia. Hong Kong was closed for the Chung Yeung festival. The German Dax, Paris Cac and British Ftse are respectively up 0.9%, 1.0% and 0.7%, and U.S. futures point to similar gains. The move […] More

Marginally Softer Dollar

October 14, 2020

The U.S. dollar edged down overnight by 0.3% against sterling, 0.2% relative to the Australian and New Zealand dollars, and 0.1% versus the yuan, Swiss franc and yen, while holding steady vis-a-vis the euro and loonie. The dollar price of gold firmed 0.5%. Stock markets in the Pacific Rim rose 0.9% in Indonesia, 0.7% in […] More

Monetary Policy Eased in Singapore

March 30, 2020

The semi-annual monetary policy review by officials at the Monetary Authority of Singapore cut the slope of the Singapore dollar’s allowed trading range to zero percent. This matches the slope allowed from April 2016 through April 2018. The center of the trading band will be is present level, and the width of the band remains […] More

Monetary Policy Eased in Singapore

October 15, 2019

Singapore’s monetary policy is reviewed by it Monetary Authority (MAS) semi-annually in April and October, and policy tool used is an allowed band for the trade-weighted Singapore dollar, rather than a domestic interest rate. Three-month Sibor is currently at 1.9%. The S-dollar’s policy band has three elements: a mid-point, the band’s width, and a prescribed […] More

Monetary Authority of Singapore’s Semi-Annual Policy Review

April 13, 2018

Monetary policy in Singapore is subordinated to the enforcement of a targeted exchange rate corridor. Officials do this by specifying three variables: the width of the Singapore dollar’s (SGD) prescribed trading corridor, the mid-point of the corridor, and the corridor’s upward or downward slope over time. In the face of downgraded growth and inflation prospects, […] More

Semi-Annual Review of Singapore’s Monetary Policy

April 13, 2017

The Monetary Authority of Singapore does not target an interest rate. Instead, monetary policy in a domestic money market sense is derivative of currency policy. The goal is a target corridor for the Singapore dollar’s trade-weighted value. Goals are made for the width of the currency band, its slope over time, and the mid-point between […] More