This may persist, says analyst.
OCBC Treasury Research noted:
Given its limited room for maneuver from the perspective of its NEER, the SGD has continued to underperform its regional peers in a weak dollar environment and this may be expected to persist in the near term.
The index is currently around +1.05% above its perceived parity (1.2420) with the extreme strong end of the NEER fluctuation band expected at around 1.2230. This is expected to be the base for the USD-SGD intra-day with top side expected to be capped around 1.2330.
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