Familiar Technical Levels In Play

Data late yesterday showed retail sales rose 6.2% Y/Y in March, below estimates at 7.1%. Retail sales ex autos rise 4.4%, beating estimates of 4.1%. Computers and telecommunications posted strong gains at 19.9%, but department stores/superstores saw sales decline 4.2% and 14.0% respectively. In its statement, SingStat noted larger sales growth in discretionary categories such as watches and jewellery and wearing apparel and footwear were "due to the lower base in March 2020 when there were low tourism receipts arising from tightened border restrictions".

• As coronavirus infections rise, Singapore is limiting events and quarantining travelers. The government has tightened restrictions in response to an uptick in cases, having recorded 64 cases of community transmission over the past week, up from 11 cases the previous week. Travelers arriving from most countries must quarantine for 21 days at "dedicated facilities," up from 14 days, starting on Saturday. Mass sporting events are also set to be suspended and social gatherings will be capped at five people until May 30, among other restrictions. About 2.2 million coronavirus vaccine doses had been administered in Singapore as of Wednesday, and nearly a quarter of the population had received at least one dose according to data compiled by the New York Times.
• From a technical perspective familiar levels are in play; USD/SGD sits just above a 50% retracement level at 1.3344, while bulls look for a break of 1.3388, a 38.2% retracement level that managed to hold yesterday. The rate is also currently sandwiched between its 50-day moving average at 1.3382 and the 100-day moving average at 1.3326.
• Fig.1: USD/SGD

Source: MNI/Bloomberg