UOB analysts see the Singapore Dollar stabilizing in a tight 1.2874–1.2939 range after a short-lived drop on softer US inflation data.
The US Dollar to Singapore Dollar pair reversed a New York-session decline following weaker-than-expected US Consumer Price Index data, closing at 1.2910. The move erased earlier losses that pushed the pair to a low of 1.2875 before rebounding sharply.
UOB’s Nominal Effective Exchange Rate model indicates the SGD will remain 1.50–2.00% above its midpoint, suggesting intraday support at 1.2874 and resistance near 1.2939. Analysts expect consolidation in the near term, with limited downside over the next 1-3 weeks within a 1.2860–1.2955 range.
Short-term momentum has weakened slightly, but the pair is unlikely to extend declines, staying between 1.2885 and 1.2930 today. The broader outlook remains constrained by the 1.2990 resistance level, which has held firm in recent sessions.