Asia Open - Overnight Highlights

EMERGING ASIA

EM currencies are trading individually against the greenback as the USD yo-yo on court rulings on Trump's universal tariff. The biggest winner is KRW by 0.31%, followed by SGD 0.18%, CNY 0.14% and CNH 0.07%; while the largest loser is THB 0.46%, PHP 0.45%, MYR 0.44%, INR 0.19%, TWD 0.07% and HKD by 0.04%.

USD/CNH is trading lower at 7.1876 from 7.1925 previously closed. Onshore spot market is trading lower at 7.1861 from 7.1958. 12 month NDF diverged from both the on/offshore market and is trading unchanged at 7.0095 than previously closed.

USD/IDR spot market is trading higher at 16308 from 16296 previously closed. 1 month NDF is trading higher at 16312 rom 16309 previously closed.

USD/INR onshore spot market is trading higher at 85.51 from 85.36. 1 month NDF is trading lower at 85.54 from 85.60 previously closed.

NA Session

The USD slipped in North America with UST yields while equities saw a limited response to the court ruling against tariffs, which Trump looks set to fight. The move was already under way before given extra momentum by a rise in initial claims to 240k from 226k. Q1 GDP was revised up to -0.2% from -0.3% but consumer spending as revised down to 1.2% from 1.8%. Core PCE prices were revised down to 3.4% from 3.5%.  Later April pending home sales plunged by 6.3%. 

USD/JPY fell to 144 from 145 and EUR/USD rose to 1.1375 from 1.1275. GBP/USD reached 1.35 but lagged EUR/USD, as EUR/GBP rise to .8425 from .8375. AUD and CAD saw only marginal gains versus the USD. There was little market reaction to a Fed statement that Powell had met with Trump and resisted pressure to cut rates, or later the Trump tariffs being reinstated while the appeal proceeded.