Forecasts for SGD to INR
Recent forecasts for the SGD to INR exchange rate indicate a cautious outlook, primarily influenced by escalating trade tensions instigated by U.S. tariffs. Analysts note that the U.S. President’s decision to impose a 10% tariff on Singaporean imports has contributed to a challenging environment for emerging Asian currencies, including the Singapore dollar. As risk appetite diminishes due to fears of a global trade war, regional currencies have experienced notable declines, with the Thai baht and South Korean won both shedding approximately 2% recently.
The Indian rupee, meanwhile, is facing mixed influences, as its value experiences pressure from the rise of the U.S. dollar amidst concerns about inflation and interest rate hikes due to increasing energy prices. Experts suggest that while the rupee's position appears "broadly balanced," ongoing geopolitical dynamics and trade policy announcements, particularly those related to tariffs, could lead to heightened volatility.
Currently, the SGD to INR exchange rate stands at 64.98, marginally above its three-month average of 64.61. The currency pair has remained stable, trading within a 3.4% range of 63.34 to 65.51 over recent weeks. Economists believe that while Singapore's strong trade ties with the U.S. provide some resilience against more severe tariff impacts, the overall sentiment for Asian currencies remains cautious. Given the interlinked effects of U.S. economic policies and the broader market reaction, forecasters advise that businesses and individuals involved in currency exchanges should remain vigilant and consider potential fluctuations in the exchange rates in the coming months.
