MAS more tolerant to SGD volatility - ANZ

FXStreet (Bali) - Khoon Goh, FX Strategist at ANZ Research, notes that the MAS (Monetary Authority of Singapore) has become more tolerant of currency volatility in recent months.

Key Quotes

"MAS has not been active in the market to smooth the SGD’s depreciation in the past few months, counter to what we had thought earlier."

"Proceeds from the maturity of their FX swaps have been transferred to GIC and not used for intervention. Valuation losses from their non-USD assets have been more than we had initially estimated."

"This indicates that MAS is more tolerant of currency volatility compared to its counterparts in the region."