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Underperforming Softer USD Trends Elsewhere

ASIA FX

Asia currencies are tracking tight ranges in the first part of Friday trade. This is underperforming the stronger trend seen by the majors against the USD (BBDXY -0.15%). USD/CNH is back under 7.1700, but isn't seeing much follow through. China inflation and trade figures for Dec were marginally better than expected, but are unlikely to shift China's macro sentiment needle.

  • The spike in oil prices may be a curb on regional FX, which much of the regional net energy importers. 1 Month USD/KRW is relatively steady near 1312. Onshore equities are weaker, underperforming for the second straight session.
  • 1 month USD/TWD is unchanged, last near 30.90. This weekend's onshore election may be keeping some market participants on the sidelines.
  • 1 month USD/IDR is a touch higher, last at 15565, while USD/THB spot is holding above 35.00. USD/PHP is close to unchanged near 56.00.
  • MYR is steady, with USD/MYR holding above 4.6400, so the ringgit is seeing benefit from the move higher in oil prices.

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