Asia Open - Overnight Highlights
EMERGING ASIA
EM currencies are trading mostly weaker against the greenback as USD climbs after choppy trading. The biggest winners are THB 0.29%, CNH & CNY 0.09%; while the biggest losers are KRW 0.47%, MYR 0.25%, SGD 0.21%, INR 0.15%, PHP 0.12%, TWD 0.08%, IDR 0.07% and HKD 0.03%.
USD/CNH is trading lower at 6.9760 from 6.9822 previously closed. Onshore spot market is trading lower at 6.9783 from 6.9847. 12 month NDF followed both the on/offshore market and is trading lower at 6.8559 from 6.8633 previously closed.
USD/IDR spot market is trading higher at 16819 from 16798 previously closed. 1 month NDF is trading higher at 16864 from 16821 previously closed.
USD/INR onshore spot market is trading higher at 90.16 from 90.02 previously closed. 1 month NDF is trading higher at 90.53 from 90.10 previously closed.
NA Session
US December employment data was mixed. Payrolls rise by a slightly weaker than expected 50k with 76k in negative back month revisions, but unemployment fell to 4.4% with November revised to 4.5% from 4.6%. Average hourly earnings with a 0.3% rise were as expected, but November was revised up to 0.2% from 0.1%. The USD saw some slippage after the data but eventually moved a little higher. EUR/USD at 1.1635 was down only 10 pips from pre-data levels while GBP/USD fell to 1.34 from 1.3420. USD/JPY saw fresh highs above 158 from 157.50 before a modest correction, a report that Japanese PM Takaichi was considering calling a February election assisting the move.
There was no US Supreme Court announcement on tariffs. Wednesday January 14 is the next day for Supreme Court announcements, but it is unclear whether that will include a verdict on tariffs. January’s preliminary Michigan CSI at 54.0 from 52.9 was slightly stronger than expected.
Canada’s employment report with a December rise of 8.2k was slightly stronger than expected but unemployment at 6.8% reversed most of a November decline to 6.5% from October’s 6.9%. USD/CAD rose above 1.39 while AUD/CAD advanced to .93 with AUD/USD edging marginally higher to .6690.