Greenback Puts The Cat Among The Pigeons

Most USD/Asia crosses opened sharply higher after USD spiked higher on the back of a jump higher in US yields after a weak auction.

• CNH: USD/CNH briefly looked over 6.50 for the first time since January before dropping back, bulls looking for a break of the Jan 28 high at 6.5151. The PBOC fixed USD/CNH at 6.4713, just 5 pips above sell side estimates, which is well within range given the sizable moves in the pair earlier.
• SGD: Singapore dollar weakened sharply as the greenback spiked, USD/SGD touching 1.3296 before offers ahead of 1.33 saw the rate drop back. Bulls look for a break above 1.3301, the 38.2% retracement from 2021 low to high. Last at 1.3288
• TWD: Taiwanese dollar surged higher in early trade, defying its peers and strength in the USD. The move higher is due to "smoothing" by the central bank, there was chatter of intervention during the session. Moves focus on the 28 handle
• KRW: Won is lower, the weakest performer in Asia, USD/KRW last at 1122.00, the BOK outlined a dovish stance yesterday, and announced today it would purchase between KRW 5 – KRW 7tn to support the market
• INR: Rupee weakened sharply at the open and has moved in a narrow range since. Market awaits GDP data as well as fiscal deficit figures and a raft of supply.
• IDR: Rupiah weaker but off its worsts, BI initially offered 1-month DNDF at IDR14,295 through brokers and then offered 1-month and 3-month DNDFs via auctions at IDR14,295 and IDR14,491 respectively. It then said it is conducting triple interventions to ensure rupiah stability.
• MYR: Ringgitt was weaker from the starting whistle, showed little reaction to trade data which showed exports rose above estimates.
• PHP: Peso weakened, but moves were less pronounced than other pairs due to a local holiday on Thursday. Philippine vaccine czar Galvez suggested that Manila will prioritise vaccine supply over price, the Philippines is only South-East Asian nation not to receive Covid jabs yet.
• THB: Markets in Thailand are closed for Makha Bucha day.