Asia Open - Overnight Highlights

EMERGING ASIA

EM currencies perform individually against the USD after the hotter U.S. CPI data which led to a choppy USD trading session in New York time. The only winners are SGD with the largest gains of 0.11%, followed by CNY 0.06% and HKD by 0.01%; the biggest loser is PHP by 0.58%, followed by KRW 0.57%, THB 0.49%, IDR 0.29%, MYR 0.26% and INR 0.02%.

USD/CNH is trading lower at 7.0849 from 7.0927 previously closed. Onshore spot market is trading lower at 7.0765 from 7.0813 previously closed. 12 month NDF followed both the on/offshore market and is trading lower at 6.9066 compared to 6.9162 previously closed.

USD/IDR spot market is trading higher at 15678 from 15630 previously closed. 1 month NDF is trading lower at 15703 from 15714 previously closed.

USD/INR onshore spot market is trading higher at 83.97 from 83.96 previously closed. 1 month NDF is trading higher at 84.09 from 84.08 previously closed.

North America Session

US data showed a sharp rise in initial claims to 258k from 225k, and a slightly stronger than expected September CPI at 0.2% overall and 0.3% ex food and energy. The initial claims rise was in part attributed to Hurricane Helene, but a further boost is expected from Hurricane Milton. The CPI upside surprise looked a little broader based than a similar one in August, which was led by housing. Still, the initial claims data initially outweighed the CPI and the USD moved a little lower. Most of the day’s Fed speakers had little impact but a remark by Bostic that he was open to a rates pause in November gave the USD a boost, which while subsequently largely reversed left the USD little changed on the day.

EUR/USD was little changed near 1.0925 but USD/JPY slipped to 148.65 from near 149. CHF also was slightly stronger with EUR/CHF seeing lows below .9350 and USD/CHF falling 20 pips to 0.8570. CAD was relatively weak with USD/CAD above 1.3750 and AUD/CAD above .9250.