SINGAPORE (Dow Jones)--The Singapore dollar was stronger against the U.S. dollar late Thursday in Asia, benefiting from a resurgence of risk appetite that lifted stock markets across the region.
Investors were cheered by Wall Street's positive session overnight amid growing optimism that Greece's debt swap would prove successful, and by expectations officials in the U.S. would introduce economy boosting measures.
The greenback is back below the S$1.2600 level as risk appetite improves, after it gained sharply against the local unit earlier this week to above the psychologically significant mark.
Market participants said it was likely that the pair would move in a broad range and remain vulnerable to outcomes of upcoming events such as the release of U.S. non-farm payrolls data due Friday.
"I think the overnight improvement in risk appetite is going to be fairly fragile, we still have a lot of events and a few central bank meetings coming up so (the pair) may be a little bit whippy," said a dealer at a local bank.
The dealer tips support for the U.S. dollar at S$1.2520 with resistance at S$1.2650.
Singapore government bonds were little changed.
-By Matthew Allen, Dow Jones Newswires; +65 64154 158; matthew.allen@dowjones.com
