Group 1 - The Brazilian real appreciated by 1% against the US dollar in spot trading [1]

Core Viewpoint - The New Taiwan Dollar has appreciated by 0.5%, with the exchange rate against the US Dollar reported at 29.308 [1] Group 1 - The appreciation of the New Taiwan Dollar indicates a strengthening of the currency in the foreign exchange market [1]

Core Viewpoint - Jefferies Group analysts predict that the Singapore dollar may appreciate to parity with the US dollar within the next five years, indicating a potential 28% increase in value [1] Summary by Relevant Sections - **Currency Performance** - Since the Federal Reserve began raising interest rates in March 2022, the Singapore dollar has appreciated against nearly all major currencies, reinforcing its status as the "Swiss franc of Asia" [1] - **Investment Appeal** - Singapore's bond yields remain attractive to conservative funds focused on wealth preservation, contributing to the positive outlook for the Singapore dollar [1] - **Current Exchange Rate Trends** - Year-to-date, the Singapore dollar has already risen over 6% against the US dollar [1]

Core Viewpoint - The New Taiwan Dollar (NTD) continues to appreciate against the US Dollar, with an increase exceeding 0.5, currently reported at 29.350 [1] Summary by Category - Currency Movement - The NTD has strengthened significantly against the USD, indicating a robust performance in the currency market [1]

Core Viewpoint - The appreciation of the Thai Baht is driven by external factors rather than domestic economic conditions [1] Group 1 - The Thai central bank attributes the recent strengthening of the Baht to global market dynamics and external economic influences [1] - The central bank's analysis indicates that the currency's performance is not significantly impacted by local economic indicators [1] - The appreciation trend of the Baht may continue if external conditions remain favorable [1]

Core Viewpoint - Investors are withdrawing from gold investments while maintaining strong demand for the Swiss franc, which is causing concern for the Swiss National Bank [1] Group 1: Investor Behavior - Investors are pulling back their bets on gold [1] - Despite a generally optimistic global market sentiment, the Swiss franc remains unexpectedly strong [1] Group 2: Currency Dynamics - The USD/CHF exchange rate fell below the 0.80 mark, a level that is rarely breached [1] - The Swiss franc's strength is creating a "spiral of appreciation" that is unfavorable for Swiss exporters [1] Group 3: Central Bank Concerns - The Swiss National Bank is increasingly worried about the implications of the strong Swiss franc [1] - The current zero interest rate in Switzerland contrasts with the strong performance of the Swiss franc [1]

Core Viewpoint - The Swiss Franc has appreciated over 10% against the US Dollar this year, presenting a challenge for the Swiss National Bank (SNB) to balance currency stability and economic growth [1][4]. Group 1: Drivers of Swiss Franc Appreciation - Global geopolitical risks have led investors to seek safe-haven assets, with the Swiss Franc being a primary target due to Switzerland's stable political environment and neutral status [3]. - The weakness of the US Dollar, driven by disappointing economic data and a shift towards looser monetary policy by the Federal Reserve, has created favorable conditions for the Swiss Franc's appreciation [3]. - Switzerland's low inflation rate and a long-standing non-intervention policy provide a solid foundation for the Swiss Franc, making it an attractive choice for investors looking for stable currencies [3]. Group 2: Dilemma of Central Bank Intervention - The SNB faces a core contradiction where the appreciation of the Swiss Franc, while reflecting market confidence, could harm export competitiveness, particularly affecting manufacturing and tourism sectors [4]. - Traditional tools for currency intervention, such as direct market operations and interest rate adjustments, may have limited effectiveness in the current complex global liquidity environment [4]. - The timing and magnitude of intervention are critical considerations for the SNB, as premature or excessive actions could signal a lack of confidence in the economy, while delayed interventions may exacerbate exchange rate misalignments [4].

Group 1 - The European Central Bank (ECB) is expected to lower the main refinancing rate to 2%, which is half of the peak from a year ago and below the Federal Reserve's equivalent rate [2] - Despite eight consecutive rate cuts by the ECB, the euro has appreciated over 10% against the dollar in the past four months, indicating a reversal in capital flows across the Atlantic [2] - The nominal effective exchange rate index of the euro has reached a new high, with the real exchange rate at its strongest level in over a decade [2] Group 2 - The ECB faces a challenge in managing the effects of rapid currency appreciation on inflation and domestic demand, especially if significant capital returns from the U.S. to Europe occur [2] - The anticipated further rate cuts by the ECB may have minimal impact on the euro, as the market expects a terminal rate around 1.75%, which is at the lower end of the ECB's neutral rate range [2] - Increased borrowing in Germany and across Europe is likely to maintain long-term fixed income returns, expanding the "safe" investment pool [2]

Core Viewpoint - To alleviate the pressure of the New Taiwan Dollar (TWD) appreciation, Taiwan's monetary policy authority has contacted several large exporters to request a reduction in their daily foreign exchange selling amounts [1] Group 1 - The Taiwanese monetary policy authority is actively engaging with major exporters to manage currency fluctuations [1] - The initiative aims to mitigate the impact of TWD appreciation on the export sector [1]

Group 1 - The core viewpoint of the article is that the South Korean won (KRW) has significant appreciation potential, being undervalued by approximately 12% according to Nomura's model, making it one of the most undervalued currencies among emerging markets and G10 currencies [1][3][4] - The discussion between South Korea's Deputy Finance Minister and the U.S. Treasury Assistant Secretary regarding the USD/KRW market indicates that the Trump administration may favor a weaker dollar, potentially making exchange rates a key topic in upcoming trade negotiations [2][3] - The potential increase in foreign exchange hedging by the National Pension Service (NPS) could lead to a substantial rise in demand for the won, as NPS could raise its foreign exchange hedging ratio to 10% of its overseas investments, which amounts to a potential foreign exchange sale of $49.7 billion [4][5] Group 2 - Basic economic factors also support the appreciation of the won, with various models indicating that the won is persistently undervalued, reinforcing the notion that external pressures are not the only drivers of its potential rise [3][4] - There are risks associated with foreign investment sell-offs or repatriation, as South Korean retail investors have significant overseas investments and may begin to liquidate assets due to concerns over a weakening dollar [5] - The asset management industry in South Korea, with a total asset management scale of $1.3 trillion, may also increase foreign exchange hedging, further contributing to upward pressure on the won [5]