Asia Open - Overnight Highlights

EMERGING ASIA

EM currencies perform mostly weaker against the USD as riskier asset faced massive sold off on Trump's enforcement of tariffs. The biggest winner is PHP by 0.19%, followed by TWD 0.15%; while the largest loser is IDR 1.81%, followed by THB 1.74%, CNH 1.09%, KRW 0.58%, INR 0.47%, CNY 0.24%, MYR 0.18%, SGD 0.05% and HKD 0.04%.

USD/CNH is trading higher at 7.4224 from 7.3430 previously closed. Onshore spot market is trading higher at 7.3394 from 7.3210 previously closed. 12 month NDF followed the offshore market and is trading higher at 7.2351 compared to 7.1725  previously closed.

USD/IDR spot market is trading higher at 16891 from 16822 previously closed. 1 month NDF is trading higher at 17105 from 16915 previously closed.

USD/INR onshore spot market is trading higher at 86.26 from 85.84 previously closed . 1 month NDF is trading higher at 86.66 from 86.21 previously closed.

NA Session

Equities saw a strong opening on speculation trade deals could be made with individual countries to reduce tariff rates. However, the gains were erased, firstly hit by US Trade Representative Greer stating that there would be no near-term exceptions from tariffs, and secondly as the US confirmed tariffs on China would be raised to 104% overnight. This saw front end UST yields lower, but yields increased at the long end. 

USD/JPY rose to 147.50 then fell back to 146.25, AUD/USD rose to .6080 before falling to .5960. USD/CAD rebounded to 1.4250 from 1.4150. EUR/USD again found support below 1.09 and recovered to 1.0950. EUR/CHF was weaker, falling below .93, but a dip in EUR/GBP was erased as GBP/USD failed to hold above 1.28. A deal to form a centrist coalition government was achieved in Germany.