Higher As Risk On Extends

Most EM Asia currencies gained after the greenback snapped a four-day rally on Wednesday, a holiday in Japan sapped some liquidity from the region.

• CNH: Offshore yuan is slightly weaker, giving back some of Wednesday's gains which was the best day for offshore yuan in eight weeks.
• SGD: Singapore dollar is stronger, Singapore announced earlier this week will tighten restrictions again from today as new cases hit a record daily high. Markets await CPI data tomorrow.
• TWD: Taiwan dollar gained, retreating from a three-month low. Markets await an announcement from officials that lockdown measures will be relaxed.
• KRW: Won is higher, shaking off another record day of coronavirus case numbers. There were over 1,800 new cases and authorities are said to be considering extending movement restrictions.
• MYR: Ringgit gained, Dep PM Ismail Sabri said that the gov't is considering permitting factories where more than 80% of staff have been fully vaccinated against Covid-19 to resume operations. Markets await CPI tomorrow.
• IDR: Rupiah strengthened, Markets await the BI's interest rate announcement later in the session. Bloomberg published a source story shedding some light on the decision-making process behind Indonesia's handling of Covid-19 outbreak. The article suggested that Pres Widodo ignored advice from his health advisors, who warned against dramatic spike in both caseload and death toll, when he chose not to impose a a full-scale lockdown.
• PHP: Peso is higher, The Presidential Palace said officials are considering a travel ban on Malaysia and other neighbouring countries, after denying entry to travellers from Indonesia.
• THB: Baht hovers around neutral levels, the laggard in Asia EM. There were reports that the coronavirus Thai outbreak could take up to 2ppts off 2021 GDP.