Asia Open - Overnight Highlights

EMERGING ASIA

EM currencies perform mostly weaker against the USD as the greenback is gained further traction after stronger PMI data. THB saw the largest losses of 0.57%, followed by MYR 0.15%, PHP 0.12%, SGD 0.07%, CNH 0.05%, CNY and HKD 0.02%; the only winners are TWD 0.14% and KRW 0.04%.

USD/CNH is trading higher at 7.2578 from 7.2572 previously closed. Onshore spot USD/CNY is trading higher at 7.2429 from 7.2413 previously closed. 12 month NDF followed both the onshore market and is trading higher at 7.0337 compared to 7.0297 previously closed.

USD/IDR spot market is closed. 1 month NDF is trading higher at 16100 from 16046 previously closed.

USD/INR onshore spot market is closed. 1 month NDF is trading unchanged at 83.37.

NA Session

The USD spiked higher on stronger than expected S and P PMI data, most notably services which rose to a 12-month high of 54.8 from 51.3 while manufacturing picked up to 50.0 from 50.0. USD/JPY spiked from 156.70 to a high of 157.20 before moving back below 157 as equities came under pressure. Elsewhere USD losses accelerated, particularly in the riskier currencies, AUD/USD falling to .66 from .6650 and USD/CAD up to 1.3735 from 1.3660. EUR/USD fell to near 1.08 from 1.0860. GBP/USD moved below 1.27 with EUR/GBP little changed but EUR/CHF slipped to .9885 from .9910.

Other US data had little impact. Initial claims fell to 215k from 223k suggesting a still firm labor market but new home sales fell by 4.7% to 634k.