Singapore’s MAS Surprise Spurs Dollar Gains

The dollar rose against most of its major peers after Singapore’s central bank unexpectedly eased monetary policy before a Federal Reserve meeting concludes today.

The Australian dollar rose against all its major counterparts after a report showed the nation’s underlying inflation accelerated. Singapore’s dollar slid to the lowest since 2010 after the Monetary Authority of Singapore reduced the slope of its currency band. Malaysia’s ringgit fell before the country’s policy makers announce their decision later today.

“The divergence in monetary policy direction is lending support to the dollar, which is leading other currencies,” said Yuji Saito, director of foreign exchange at Credit Agricole SA in Tokyo.

Bloomberg

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.