The last time SOR and SIBOR crossed path was way back in May 2009. That was when SOR fell below SIBOR and remained so for more than 2 years. The recent sharp increase in USD/SGD exchange rates (from 1.2 to 1.3 in 3 weeks) took SOR from -0.1 to 0.35 over the same period. It looks like MAS has kept the USD/SGD rate bounded at 1.3 for now, so SOR will likely stabilise, although it is to be noted that LIBOR has been on an increasing trend.
If we’re headed for a repeat of the kind of financial turmoil experienced in 2008 (and it looks like it’s cooking up a bigger storm this time), then we could be in for a rough ride. At least we’re in it together, like it or not