Emerging Asian FX On Softer Footing, China & South Korea Out On Holidays

The Bloomberg/J.P. Morgan Asia Dollar Index faltered, with overhang risk-off impetus from Friday's after-Asia hours applying pressure to regional currencies. Financial markets were closed in China and South Korea, the former of which begins its Golden Week holiday.

• IDR: Spot USD/IDR ripped through recent cyclical highs, running as highs as to IDR15,290 in anticipation of local CPI data. Headline inflation accelerated to +5.95% Y/Y in September, printing close to the +6.00% median estimate, which keeps pressure on Bank Indonesia to raise interest rates further.
• MYR: The ringgit refreshed its worst levels versus the greenback since the Asian financial crisis. Prime Minister Ismail Sabri said he would seek an audience with the King after the ruling party called for a quick dissolution of parliament, which began its sitting to debate Budget 2023. Data showed that Malaysia's manufacturing sector slipped into contraction.
• PHP: Spot USD/PHP remained capped by its record highs printed last week near PHP59.000. The generally optimistic results of the local S&P Global M'fing PMI failed to provide much support to the peso.
• THB: The Thai baht was among the worst performers in emerging Asia as the BoT's reluctance to tighten monetary policy at a faster clip keeps the currency vulnerable. Thailand's S&P Global M'fing PMI soared to its highest point on record.