The USD to WST exchange rate is currently bearish.
Key drivers include:
- The anticipated interest rate cuts by the Federal Reserve, which may weaken the USD.
- The Central Bank of Samoa's ongoing policy to reduce excess liquidity could stabilize the WST.
- Samoa's projected economic growth of 3.2% for the fiscal year indicates a positive macroeconomic outlook.
In the near term, the USD to WST pair is expected to trade within a range, continuing its recent low performance near 2.7678.
An upside risk could emerge from unexpected economic recovery in the US, while a downside risk might stem from continued depreciation pressures on the USD due to further geopolitical tensions or negative economic data.