Asia Open - Overnight Highlights

EMERGING ASIA

EM currencies are trading mostly stronger against the greenback, led by waves of USD selling after Trump's remark on USD weakness. The biggest winners are SGD 0.66%, MYR 0.29%, KRW & INR 0.26%, CNH 0.22%, TWD 0.17%, THB 0.09% and IDR 0.08%; while the largest losers are PHP by 0.2%, HKD 0.02% and CNY 0.01%.

USD/CNH is trading lower at 6.9337 from 6.9488 previously closed. Onshore spot market is trading higher at 6.9545 from 6.9542. 12 month NDF followed the offshore market and is trading lower at 6.8042 from 6.8196 previously closed.

USD/IDR spot market is trading lower at 16768 from 16782 previously closed. 1 month NDF is trading lower at 16698 from 16752 previously closed.

USD/INR onshore spot market is trading lower at 91.72 from 91.95 previously closed. 1 month NDF is trading lower at 91.63 from 91.90 previously closed.

NA Session

Steep USD losses continued, both before and after a fall in US consumer confidence to 84.5 in January from 94.2 in December, reaching its weakest level since May 2014. Late in the day Trump signaled he was unconcerned about the USD’s slide, and a further sharp break lower was seen.

After a modest correction in Asia USD/JPY resumed its slide, falling over two big figures to near 152.50, and breaking below on Trump’s comments. EUR/USD saw a sustained move above 1.19 and broke through 1.20 on Trump’s comments. GBP/USD broke above 1.38 even with EUR/GBP rising above .8690 from .8675. EUR/CHF was however significantly lower at .9175 from .9230. AUD/USD saw a late break above .70 after Trump spoke while USD/CAD moved back below 1.36, which had already been briefly achieved earlier in the session.