Singapore Dollar Holding Recent Gains

A slightly stronger day for Singapore dollar, USD/SGD finished the session with losses of 0.1%. The pair last trades up 2 pips at 1.3532. Familiar technical levels are in play; resistance is seen at the 23.6% retracement level 1.3567 while support seen at a 38.2% retracement level 1.3488.

• On the coronavirus front case numbers remain elevated, there were 106 new cases yesterday. The current restrictions will be reviewed in early August, but there have been calls to move schooling back online with case numbers above 100 every day for the past 9 days.
• Data yesterday showed PMI rose slightly to 51.0 from 50.9 in June. The survey was buoyed by faster expansion in new orders, new exports, factory output, inventory, and employment, though the finished goods index shrank for a fourth month. There is a worry though that Singapore's manufacturing supply chains may be disrupted because of the rising Covid cases and tightening lockdowns across the Asean region.