Asia Open - Overnight Highlights

EMERGING ASIA

EM currencies perform mostly stronger against the USD after market participants digest the FOMC cut and forward guidance. MYR saw the largest gains of 0.88%, followed by IDR 0.67%, THB 0.52%, KRW and CNH 0.34%, SGD 0.27%, PHP 0.24%, CNY 0.2%, INR 0.09% and TWD 0.06%; the only loser is HKD by 0.02%.

USD/CNH is trading lower at 7.0716 from 7.0954 previously closed. Onshore spot is trading lower at USD/CNY 7.0627 from 7.0810 previously closed. 12 month NDF followed both the on/offshore market and is trading lower at 6.9004 compared to 6.9198 previously closed.

USD/IDR spot market is trading lower at 15239 from 15335 previously closed. 1 month NDF is trading lower at 15205 from 15328 previously closed.

USD/INR onshore spot market is trading lower at 83.68 from 83.75 previously closed. 1 month NDF is trading lower at 83.73 from 83.79 previously closed.

North America Session

The Bank of England left rates unchanged as expected with a less dovish than expected 8-1 vote. EUR/GBP slipped to .8395 from .8420 but later edged back above .84. A bounce in GBP/USD above 1.33 was brief. 

The USD got a lift from a fall in initial claims to 219k from 231k while the September Philly Fed index bounced to 1.7 from -7.0, though the gain faded and the USD ended little changed, USD/JPY near 142.60 and EUR/USD near 1.1160. Gains in equities kept the riskier currencies supported.