Coronavirus Cases Rise to Highest In Nearly Three-Weeks

Singapore dollar strengthened on Monday amid a constructive risk environment, a weaker greenback saw USD/SGD drop some 0.44%, the pair closing near session lows at 1.3563. The rate last changing hands at 1.3562. Support is seen at the 50-DMA at 1.3530, resistance is just above the prevailing level at 1.3567, a 23.6% retracement level.

• On the coronavirus front Singapore reported 94 new cases yesterday, the highest case count since August 5 after a cluster of infections was discovered at a foreign worker dormitory. The jump in cases comes as Singapore prepares to expand its travel lane programme.
• Data yesterday CPI rose 2.5% Y/Y in June, in line with estimates, slightly faster than the 2.4% rise in June, core CPI rose 1.0% Y/Y, also inline with estimates. The pace denotes the fastest rise in prices in seven years. In a statement METI said external inflation has remained elevated amid the pass-through of higher oil prices and cost of intermediate goods to final consumer prices but noted these pressures should ease during the course of the year. METI added that lingering uncertainty over the pandemic is likely to keep wage growth constrained which will also slow price rises.
• There are no domestic releases on the docket today, markets look ahead to industrial production figures on Thursday