Greenback Continues To Rise

Most USD/Asia crosses rose as the greenback continues its recent rally, stocks struggled for direction and an initial wave of risk on gave way to an uncertain tone.

• CNH: Offshore yuan is weaker, taking another leg higher post fix as the DXY rises above its 200-day moving average. The rate is now above its 100-day moving average, but below 2021 highs just below 6.58 hit on March 9.
• SGD: Singapore dollar weakened slightly, USD/SGD last up 9 pips at 1.3470, sources note SGD liquidity is tight as swap rates rise to the highest since May.
• TWD: Taiwan dollar is weaker, USD/TWD consolidating further above 28.50. The pair is now above its 100-day moving average for the first time in 11 months. Taiwan has declared a red alert for the first time in six years as drought takes hold.
• KRW: Won is weaker, touching a one week low. Virus cases in South Korea are back above 400, while markets were sanguine over reports of a North Korea missile test.
• INR: Rupee opened weaker but has gained as the session goes on. Finance Minister Sitharaman reassured markets yesterday India was not at risk of a ratings downgrade.
• IDR: Rupiah is lower for a second day, FinMin Indrawati said yesterday the BI would be vigilant of any spillover from US policy.
• MYR: Ringgit is weaker, Malaysian CPI missed the +0.2% Y/Y consensus forecast in Feb. The headline metric improved to +0.1% from -0.2% seen in Jan. Core inflation printed at +0.7% Y/Y.
• PHP: Peso is slightly stronger, the presidential spokesman insisted that restrictions implemented within the NCR+ bubble are not a form of lockdown as "the economy is open." Markets await the BSP policy announcement later today.
• THB: Baht is weaker, Thailand saw 6,110 tourist arrivals last month, a decline of 99.7% Y/Y due to the pandemic, elsewhere the trade surplus narrowed more than expected as exports dropped and imports rose.