The USD to SGD exchange rate is currently bearish.
Key drivers include a looming interest rate cut by the Federal Reserve, expected to weaken the USD in 2026. Additionally, improving global economic growth is likely to support the SGD's position. The Monetary Authority of Singapore's stable monetary policy combined with positive growth forecasts suggest relative strength for the SGD against the USD.
In terms of near-term range, the USD/SGD is likely to stay within a moderate range, potentially seeing slight fluctuations as both economies adjust.
Upside risks to the USD include unexpected resilience in U.S. economic data that could delay rate cuts. On the downside, potential shifts within ASEAN to reduce USD usage in transactions could negatively impact the dollar's standing in the region.
Overall, currency forecasters see the USD under pressure while the SGD may continue to strengthen amid its positive outlook.