Asia FX Trade Mixed, Baht Sinks

The baht led losses in otherwise mixed trade, with participants on the lookout for fresh broader catalysts.

• CNH: Spot USD/CNH was trapped within the confines of yesterday's range, while the yuan fixing was only marginally softer than expected.
• KRW: Spot USD/KRW operated in close proximity to recent highs. Premier Kim warned that the Covid-19 situation in Seoul metropolitan area is "urgent" and asked officials to ramp up countermeasures, as South Korea's daily infections and critical cases spiked to record highs.
• IDR: The rupiah slipped against the dollar. Bank Indonesia Governor Warjiyo pledged a "pro-stability" monetary policy and a "pro-growth" macroprudential policy.
• MYR: Spot USD/MYR rallied to its highest point since Aug 25. Malaysia announced that Sarawak will hold a state election on Dec 18.
• PHP: The Philippine peso held firm. Pres Duterte urged officials to do what it takes to ensure that the Nov 29 - Dec 1 vaccination drive goes as planned.
• THB: The baht brought up the rear in Asia EM basket, with spot USD/THB punching through its 50-DMA. There was plenty of central bank rhetoric to digest, but little in the way of notable insight there, albeit MPC minutes highlighted that economic recovery remains fragile and uncertain. Some linked baht weakness the reassessment of outlook for the local tourism industry amid the re-tightening of Covid-19 restrictions in several locations around the globe.