Asia Open - Overnight Highlights

EMERGING ASIA

EM currencies perform individually against the USD as the greenback reversed earlier losses led by USD/JPY. THB saw the largest losses of 0.14%, followed by SGD and CNH 0.04%, CNY and MYR 0.03%; the biggest winner is KRW by 0.21%, PHP 0.2%, INR 0.14%, TWD 0.06%, IDR 0.04%.

USD/CNH is trading higher at 7.3035 from 7.3009 previously closed. Onshore spot USD/CNY is trading higher at 7.2688 than 7.2666 previously closed. 12 month NDF followed both the on/offshore market and is trading higher at 7.0831 compared 7.0754 to previously closed.

USD/IDR spot market is trading lower at 16406 from 16413 previously closed. 1 month NDF is trading lower at 16399 from 16443 previously closed.

USD/INR onshore spot market is trading lower at 83.46 than 83.57 previously closed. 1 month NDF is trading lower at 83.54 than 83.65 previously closed.

NA Session

US data was mixed but on balance on the weak side of expectations, despite a fall in 6k fall in initial claims and marginal upward revisions to Q1 GDP and core PCE prices. Weakness is visible in a wider advance goods trade deficit of $100.6bn from $98.0bn and core durable goods orders for May, with ex transport orders down by 0.1% while overall orders rose by 0.1%. Later Fed’s Bostic saw one rate cut this year but welcomed recent inflation data, while pending home sales fell by 2.1% in May.

UST yields fell and the USD saw some slippage, EUR/USD moving above 1.07 to 1.0725 before correcting to settle just above 1.07. However after a brief dip to 160.30 USD/JPY pushed back up to around 106.80. EUR/CHF was firm, advancing to .9620 but EUR/GBP gains faded. AUD/USD was marginally weaker near .6650 and USD/CAD was little changed after peaking at 1.37.