Korean Won Leads Gains On Improving Sentiment, Firm Jobs Data

Receding geopolitical unrest surrounding the Russia-Ukraine standoff applied pressure to USD/Asia crosses, despite the lack of confirmation if Moscow has started reducing military presence on the Ukrainian border.

• CNH: Offshore yuan was unfazed by China's inflation data, with both PPI and CPI growth slowing more than expected. PBOC Gov Yi pledged to "keep accommodative policy flexible and appropriate."
• KRW: The won gained on the back of better risk environment and solid enough jobs data released out of South Korea, even as the nation's daily Covid-19 cases surged past 90k for the first time since the onset of the pandemic.
• IDR: Spot USD/IDR traded on the back foot as market sentiment improved. Bank Indonesia Gov Warjiyo stuck to familiar lines re: monetary policy, while noting that Indonesia will keep expanding local currency settlement programme.
• MYR: Spot USD/MYR clawed back its initial losses and moved into positive territory. Domestic headline flow failed to offer any notable catalysts.
• PHP: The peso appreciated on the eve of Bangko Sentral ng Pilipinas' monetary policy decision. Central bank chief Diokno said that the country's higher debt is not a problem and debt-to-GDP ratio remains manageable.
• THB: Thai markets were shut in observance of a public holiday.