(Bloomberg) -- Singapore's dollar may be an
``attractive'' currency to fund carry trades as interest rates
fell below those of the Taiwan dollar, previously widely borrowed
to pay for higher-yielding assets, Citigroup Inc. said.
Singapore's benchmark interest rate for lending fell to 2.5
percent from 3.4 percent at the start of this year. That's lower
than Taiwan's 3.125 percent, making it cheaper for investors to
borrow Singapore dollars to take advantage of other currencies
with higher yields.
Read more at Bloomberg Currencies News
``attractive'' currency to fund carry trades as interest rates
fell below those of the Taiwan dollar, previously widely borrowed
to pay for higher-yielding assets, Citigroup Inc. said.
Singapore's benchmark interest rate for lending fell to 2.5
percent from 3.4 percent at the start of this year. That's lower
than Taiwan's 3.125 percent, making it cheaper for investors to
borrow Singapore dollars to take advantage of other currencies
with higher yields.
Read more at Bloomberg Currencies News
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