USD/Asia Pairs Stay On The Front Foot

USD/Asia pairs are higher in line with broader USD gains, (BBDXY +0.20% to 1277). Familiar themes have weighed on Asian FX, although China and South Korean markets still remain out (South Korean markets return tomorrow). Weaker regional equities led by HK has aided the USD, with on-going property concerns a drag. Comments have also been evident from the BI and Thailand officials re FX weakness. Tomorrow, the main focus will be South Korean data, with August IP and the September PMI on tap.

• USD/CNH did push to 7.3300 amid sharp Hong Kong equity losses. However, we found selling interest around this level. The pair last near 7.3275. Hong Kong markets returned today, but China markets remain closed this week.
• 1 month USD/KRW is back to 1360, amid renewed risk off in the equity space. Onshore markets return tomorrow. The last spot close was 1349.40, back last Wednesday. Hence if these levels hold it implies a weaker onshore KRW open tomorrow.
• USD/THB has broken through 37.00, last near 37.13, around 0.50% weaker in baht terms for the session so far. Comments have crossed from the Deputy Finance Minister that the BoT can manage THB weakness. New PM Srettha has also stated that a weaker baht is good for exports (BBG).
• USD/IDR has broken above 15600, erasing YTD rupiah gains. The pair was last at 15611, also down 0.50% for the session so far. Comments have cross that the BI is in the market to ensure supply/demand balance and confidence in the FX backdrop (RTRS). Again though, the BI doesn't appear to have a firm line in the sand for the currency. A higher for long Fed and weaker equity risk appetite are weighing on IDR.
• USD/PHP is holding sub 57.00, with moves above 56.90 drawing selling interest. Resistance at the figure continues to hold. The main focus this week being on Thursday's September CPI report.