SINGAPORE (Reuters) – Singapore’s central bank is increasingly likely to ease monetary policy at its semi-annual meeting in October in a bid to boost an export-reliant economy being choked by the U.S.-China trade war, economists said on Friday.
Earlier on Friday, preliminary data showed Singapore had annual growth of just 0.1% in the second quarter, its slowest expansion in a decade and well below expectations – increasing the chances the Monetary Authority of Singapore (MAS) will act.
Seven - Economists - Reuters - MAS - Policy
Seven of 11 economists polled by Reuters said they expect the MAS to loosen policy in October, with the other four forecasting no change.
One of the seven seeing looser policy ING, said in a note on Friday that a move by MAS might be “imminent”.
MAS - Month - Policy - October - Meeting
MAS said last month it was not considering changing monetary policy before its October meeting.
Steve Cochrane, economist at Moody’s Analytics, said “The U.S.-China trade war is continuing to have deep and long-lasting effects on the region.”
Severity - Outcome - Pressure - MAS
“Given the severity of this quarterly outcome, there is pressure for the MAS to ease monetary...
Wake Up To Breaking News!