Equity markets have rallied across the board in Asia, but the dollar is weaker. The Nikkei opened lower, but recovered to be up 0.5% at the time of writing despite yen strength. Kospi has risen 0.4%, Shanghai is up 0.5%, and the Hang Seng is up 0.9%. S&P 500 futures are down slightly.
The AUD, EUR, and JPY have all strengthened slightly further against the dollar, rising to 0.9054, 1.3712, and 101.65 respectively. In EM Asia FX, the IDR has outperformed again, rallying 1.2% to 11,694. Bank Indonesia does not seem to have intervened yet. USDKRW gapped lower to 1058.45 where we believe the Bank of Korea began showing bids. With this, it trended up to 1061.20. The PHP, MYR, and TWD are all stronger, but intervention pushed USDINR up slightly to 62.0325. USDCNY fixed 17pips lower to 6.1053, keeping it in its sideways range so far this year.
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Credit Suisse