Asia Open - Overnight Highlights

EMERGING ASIA

EM currencies are trading mostly weaker against the greenback as USD gained strongly on Israel-Hamas truce. The biggest losers are PHP 0.54%, followed by SGD 0.31%, THB 0.17%, CNY 0.11%, MYR 0.04% and HKD 0.01%; while the largest winners is CNH by 0.1%.

USD/CNH is trading lower at 7.1381 from 7.1501 previously closed. Onshore spot market is trading higher at 7.1301 from 7.1214 closed before the national holiday. 12 month NDF followed the onshore market and is trading lower at 6.9940 from 6.9990 previously closed.

USD/IDR spot market is trading lower at 16568 from 16573 previously closed. 1 month NDF is trading higher at 16604 from 16595 previously closed.

USD/INR onshore spot market is trading unchanged at 88.79 from previously close. 1 month NDF is trading higher at 89.01 from 88.92 previously closed.

North American session

USD/JPY saw a drop to an low of 152.14 after Japan’s LDP leader Takaichi said she had no intention of triggering an excessively weak JPY, but a rebound above 153 quickly followed. The USD was stronger across the board, USD/CAD breaking above 1.40 while AUD/USD fell from above .66 to below .6550. EUR/USD fell to 1.1550 from 1.1615 while GBP/USD after failing to return to 1.34 fell below 1.33. 

There was not much news with data absent. UST yields were modestly higher and equities modestly lower. Fed’s Barr was quite hawkish on the tariff threat to inflation, but had little market impact.