Jefferies: The Singapore dollar is expected to be at parity with the US dollar

The Singapore dollar is likely to appreciate to parity with the US dollar within the next five years, according to Jefferies Group analysis. The Singapore dollar has appreciated against almost all major currencies since the US Federal Reserve began raising interest rates in March 2022, confirming its status as the "Asian Swiss franc", group strategist Christopher Wood wrote in his Greed and Fear newsletter. Mr. Wood said Singapore's bond yields remained attractive to conservative funds focused on wealth preservation. From a five-year perspective, it is not far-fetched to expect the Singapore dollar to reach parity with the US dollar, implying a 28 per cent appreciation. The Singapore dollar has gained more than 6 per cent against the US dollar so far this year.