CNH & IDR Modestly Softer, Firmer Trends Elsewhere

Outside of CNH and IDR, the Asia FX trend is mostly positive in the first part of Friday trade.

• USD/CNH is a above NY closing levels from Thursday, but little changed overall, last near 7.1850. Onshore and HK equities are down slightly, which may be weighing at the margins.
• 1 month USD/KRW is lower, aided by a +1% recovery in the Kospi, but the pair has been unable to breach the 1330 level on the downside. The pair was last in the 1332/33 region.
• Spot USD/THB has ticked down from recent highs, last close to 35.65/70, around 0.15% firmer in baht terms. Dec customs trade showed a surprise trade surplus of nearly $1bn (-$1430mn expected), but this owed to a sharp fall in imports, -3.1%y/y (+7.4% forecast), which indicate softer domestic demand.
• USD/PHP has also edged down, last near 56.40/45, around 0.2% stronger in PHP terms. Dec trade figures for the Philippines showed a slightly better than expected trade deficit (-$4bn, versus -$4.5bn forecast), largely thanks to slowly import growth. Yesterday's highs in the pair (56.56), were the firmest levels since early Nov last year.
• USD/IDR is touch higher in early dealings, the pair last near 15835, while the 1 month NDF is 15840/45, with the pair building a base above 15800 in the last two session. Thursday highs were close to 15900, with the market likely to be mindful of BI intervention and any further domestic news re potential political resignations.
• USD/SGD is steady around the 1.3400 level, with Monday's MAS meeting coming into view.