Home›Forex›Central Banks›MAS seen holding steady in July, keeping a tightening…

MAS seen holding steady in July, keeping a tightening bias

MUFG links the expected July decision to benign June inflation readings and says the restrictive stance should help support the Singapore dollar versus the US dollar.

Reported · Written up by our desk · Central Banks

Singapore’s June inflation data stayed largely benign, with only modest upticks in both headline and core CPI, according to a MUFG note highlighted by FXStreet.

MUFG expects the Monetary Authority of Singapore to keep policy unchanged in July, but to retain a tightening bias, citing scope for a pre-emptive move given strong growth and upside inflation risks.

The note adds that MAS’s restrictive stance should keep the Singapore dollar relatively resilient versus the US dollar.

FXStreet also points to the broader market backdrop, including focus on Middle East developments and inflation concerns, as investors look ahead to central bank signals.

More like this

Sources