Singapore dollar trades at $1.2222

Period of volatility on the FX markets looms.

IG Markets Singapore said:

Things have stayed very quiet for the Singapore dollar overnight as it spends another session unchanged against the greenback.

There could be a period of volatility on the FX markets as we head towards the year-end unless a deal is struck soon on the fiscal cliff crisis.

US politicians and policymakers have the power to influence markets with their comments and that is exactly what has happened this week.

While the USD yo-yos on such comments the local currency has remained resilient among all the noise, waiting for action not talk.

This morning the Singapore dollar trades at $1.2222.

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