UK & Singapore Agree Partnership On Financial Services

A quiet session for Singapore dollar saw USD/SGD finish essentially flat, the pair closing the day 1 pip higher on Wednesday at 1.3454. The rate last changing hands at 1.3450. Bears look for a break of the 23.6% retracement level at 1.3443, a breach of which would bring 1.3388 and the 200-DMA into focus. Bulls look to the 2021 high at 1.3531, chatter of offers around the 1.35 figure which held through late March and early April.

• Elsewhere the UK and Singapore has agreed an MOU for cooperation in financial services, a statement from the UK treasury said the partnership would "support increased financial services activity between the two countries,"
• The MAS released a statement late yesterday, the central bank was positive on the global recovery and says it may surprise to the upside. The Bank revises CPI forecasts to 1%-2%, and says growth could exceed the upper end of the 4%-6% range. The MAS says it is vigilant to risks of rises in home prices, but doesn't think the property market is overheated right now adding that the property market has been resilient in the face of the pandemic. The central bank also noted that it would conduct more stress tests to assess dividend curbs, and will advise banks soon on the results of this.
• Markets await home price data from Singapore today, and further afield will look to July 5 when the government will unveil support measures during phase 2 and phase 3 of restriction measures, as well as how the support measures will be funded.