Asia Open - Overnight Highlights

EMERGING ASIA

EM currencies perform individually against the USD as the greenback retraced earlier losses on strong manufacturing index. SGD saw the largest losses of 0.12%, followed by CNH 0.08%, HKD, PHP and INR 0.01%; while the biggest winner is KRW by 1.00%, TWD 0.34%, IDR 0.28%, MYR 0.16% and THB by 0.03%.

USD/CNH is trading higher at 7.2496 compared to the 7.2440 at previously closed. Onshore spot USD/CNY is trading higher at 7.2387 from 7.2385. 12 month NDF followed both the on/offshore market and is trading higher at 7.0540 compared to 7.0500 previously closed.

USD/IDR spot market is trading lower at 16179 from 16220 previously closed. 1 month NDF is trading lower at 16230 from 16236 previously closed.

USD/INR onshore spot market is trading higher at 83.54 from 83.53. 1 month NDF is trading lower at 83.62 from 83.68 previously closed.

NA Session

The USD was modestly firmer in North America, primarily supported by a bounce in April’s Philly Fed manufacturing index to a 2-year high of 15.5 from 3.2. Initial claims were unchanged and still low at 212k. Comments from Fed’s Williams and Bostic were also USD supportive. A 4.3% fall in March existing home sales was in line with expectations. EUR/USD fell to 1.0645 from 1.0680.

The USD saw similar gains elsewhere, USD/JPY to 154.65 from 154.45, even with a marginal dip after BoJ’s Ueda said a weak JPY could impact inflation and consequently policy.