WSJ:Singapore Dollar Weaker Late On Greece Debt Talks Disappointment
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USD/SGD 1.2439 +0.0015
Overnight Rate 0.06% -2 bps
2-Year Bond Yield 0.28% -1 bp
10-Year Bond Yield 1.54% -1 bp
2-Year Swap Offer 0.53% -1 bp
10-Year Swap Offer 1.97% -1 bp
2-10-Year Swap Curve 144 bps unchanged
SINGAPORE (Dow Jones)--The Singapore dollar was slightly weaker late Thursday on disappointment over Greece's failure to reach a final resolution in its sovereign debt restructuring talks.
Asian currencies have been tracking the euro lower as investors gradually lost confidence in Greece's ability to negotiate a solution to its financial problems.
The U.S. dollar hit an intraday high of S$1.2490 earlier in the session, but has since pulled back on reassurance from Greece's Prime Minister Lucas Papademos that a deal could be reached later in the global day.
Standard Chartered Bank Head of Asian FX Strategy Thomas Harr said, "Risk appetite is still strong but there is a lot of noise going on at the moment" in relation to euro-zone developments, and recent Greece-related headlines have provided an opportunity for investors to book some profit.
Harr projects the the greenback to trade in a range of S$1.2420 to S$1.2500 for the rest of the Asian session.
Singapore government bond yields were slightly lower Thursday on the deterioration in risk sentiment in Asian trade.
-By Sam Holmes, Dow Jones Newswires; +65-6415-4157; samuel.holmes@dowjones.com