Singapore: Q2 may be the worst point – Standard Chartered

FXStreet Team FXStreet

Economists at Standard Chartered Bank raise Singaporean 2020 GDP forecast to reflect potentially higher operating level during the ‘circuit-breaker’ period while Q2 growth may be the worst of 2020. USD/SGD is trading at 1.4167, near daily lows.

Key quotes

“Final Q1-2020 GDP was revised higher to -0.7% from the advance print of -2.2%. The upward revision was driven primarily by a firmer-than-expected manufacturing sector, boosted by robust pharmaceuticals production.”

“We raise our 2020 GDP forecast to -6.0% from -9.6%. We also lower our 2021 GDP growth forecast to 8.2% from 10.8% due to a higher base.”

“We expect Q2 to be the worst quarter of 2020 for Singapore’s economy given the gradual lifting of local circuit-breaker measures in June, and of lockdowns in other countries in May-June. However, the H2 recovery is likely to be tepid.”

Author

FXStreet Team

FXStreet

EUR/USD flirts with daily highs, retargets 1.1900

EUR/USD regains upside traction, returning to the 1.1880 zone and refocusing its attention to the key 1.1900 barrier. The pair’s slight gains comes against the backdrop of a humble decline in the US Dollar as investors continue to assess the latest US CPI readings and the potential Fed’s rate path.

GBP/USD remains well bid around 1.3650

GBP/USD maintains its upside momentum in place, hovering around daily highs near 1.3650 and setting aside part of the recent three-day drop. Cable’s improved sentiment comes on the back of the Greenback’s irresolute price action, while recent hawkish comments from the BoE’s Pill also collaborate with the uptick.

Gold clings to gains just above $5,000/oz

Gold is reclaiming part of the ground lost on Wednesday’s marked decline, as bargain-hunters keep piling up and lifting prices past the key $5,000 per troy ounce. The precious metal’s move higher is also underpinned by the slight pullback in the US Dollar and declining US Treasury yields across the curve.

Crypto Today: Bitcoin, Ethereum, XRP in choppy price action, weighed down by falling institutional interest

Bitcoin's upside remains largely constrained amid weak technicals and declining institutional interest. Ethereum trades sideways above $1,900 support with the upside capped below $2,000 amid ETF outflows.

Week ahead – Data blitz, Fed Minutes and RBNZ decision in the spotlight

US GDP and PCE inflation are main highlights, plus the Fed minutes. UK and Japan have busy calendars too with focus on CPI. Flash PMIs for February will also be doing the rounds. RBNZ meets, is unlikely to follow RBA’s hawkish path.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.