The Singapore dollar experienced a slight increase against the U.S. dollar during the Asian trading session, driven by improved risk sentiment following a trade agreement between the United States and India. According to Jin10, U.S. President Donald Trump announced on Monday that the U.S. has agreed to reduce tariffs on India to 18%, down from the 25% imposed last year.
Two foreign exchange strategists from OCBC Bank's research division noted in a report that if risk sentiment continues to stabilize and the U.S. dollar's upward trend slows, the recent rise of the U.S. dollar against the Singapore dollar is expected to level off. The strategists added that the currency pair is likely to consolidate within the range of 1.2680 to 1.2760.
Data from LSEG indicated that the U.S. dollar fell by 0.1% against the Singapore dollar, trading at 1.2710.