Investor sentiment is cautiously bullish on the Singapore dollar, supported by steady economic growth and stable monetary policy. Bullish bets on the Philippine peso have reached their highest since late November 2024. Conversely, bearish bets on the Thai baht have been maintained consistently since mid-April 2025, reflecting ongoing domestic and regional uncertainties.
Currency markets in Southeast Asia are witnessing mixed investor sentiment as of October 2025. The Singapore dollar sees a slight uptick in optimism due to the Monetary Authority of Singapore's measured policy and resilient economic fundamentals. Singapore’s inflation has eased, exports remain firm, and risk appetite for SGD assets stays high, positioning the currency as a regional safe haven.
The Philippine peso has attracted the most bullish investor bets since November 2024, buoyed by central bank rate cuts and expectations of economic stabilization. However, challenges such as infrastructure concerns and political risks persist, keeping some caution in the market.
Meanwhile, the Thai baht continues to face sustained bearish outlooks, with investors wary due to ongoing fiscal pressures, inflation concerns, and geopolitical risk factors. The baht’s depreciation trend has persisted since mid-April, impacting trade and investment flows.
These divergent currency trends underscore the varying economic trajectories and policy landscapes across ASEAN markets, influencing global and regional capital movement and trade balances.
Key Highlights:
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Singapore dollar sentiment slightly bullish amid stable MAS policies and growth.
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Philippine peso bullish bets at highest since November 2024, driven by easing rates.
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Thai baht bearish bets sustained since mid-April due to fiscal and geopolitical risks.
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Regional economic and monetary policy divergences shape currency investor strategies.
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SGD emerging as defensive Asian currency; PHP buoyed by central bank’s dovish stance.
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THB depreciation influences Thailand’s trade and capital flow dynamics.
Sources: MAS, Reuters, ING, DBS Research