As if in confirmation over what was mentioned in blog entries these few months, the Singapore dollar rose against the US dollar. Some analyst claimed that this currency boost is due to a return of risk appetite on better US housing data and jobs data. It might be .. But in my opinion, this currency boost is more likely attributed to the gradual but sure depreciation of the US currency. As long as the present Easing policy continues, you can be sure that the US dollar on a long term basis does not look too good. Asian currency will by and large be expected to strengthen against the US dollars. These are interesting times..
The local unit at one point traded at 1.3419 to the US dollar, topping the previous high of 1.3438, said Suresh Kumar Ramanathan, regional rates and forex strategist at Malaysian bank CIMB in Kuala Lumpur.
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