Monetary Authority of Singapore policy decision out now:

  • Says has decided to increase slightly the slope of the SGDNEER policy band
  • Width of the policy band and the level at which it is centred will be unchanged
  • Says move is consistent with a modest and gradual appreciation path of the S$NEER policy band that will ensure medium-term price stability

More:

  • MAS says for 2018 as a whole, core inflation will come in within the forecast range of 1.5-2%, and average 1.5-2.5% in 2019
  • Says CPI-all items inflation is projected to be about 0.5% in 2018 before picking up to 1-2% in 2019.
  • Says Singapore's GDP growth should come in within the upper half of the 2.5-3.5% forecast range in 2018 and moderate slightly in 2019.
  • Says a small, positive output gap is expected to persist into 2019, imparting modest inflationary pressures.

Headlines via Reuters

I'd posted earlier on the expectations of a tightening (Sing do it through the exchange rate appreciating rather than through interest rates)> the tightening was only expected by a small majority.

SGD had a wobble but as I post little changed, USD/SGD sitting near its recent low