Halister News

(Bloomberg) -- Asian currencies strengthen at month-end, led by Aussie dollar on better-than-expected economic data; majority of region’s FX still in line for declines in May.

• Currencies pushed higher on month-end repatriation by export cos., Mizuho Bank emerging-market trader Masakatsu Fukaya says
  • Market participants waiting for reaction to Yellen’s Friday remarks on Fed rates when Europe and U.S. return after holidays yday
• Bank Indonesia’s exec director of monetary policy says rupiah slightly deviating from fundamentals
  • Currency is headed for 3.1% drop vs dollar in May, first monthly decline since Nov.
• Asian stocks trim worst monthly drop since Jan. rout
• In Australia, April building approvals +3.0% m/m, most since Dec.; est. -3.0%; +0.7% y/y vs est. -6.7%
  • 1Q net exports add 1.1 point to GDP vs est. 0.7 point
  • Total April lending +6.7% y/y vs est. +6.5%
  • AUD/USD climbs 0.7%, though topside heavy with fund- related offers, Asia-based FX trader says; pair falls 4.8% in May
• Yen halts two-day drop against dollar; is down 4.1% in May after gaining for three straight months
  • April data on industrial production, employment and household spending paint mixed-to-negative picture of Japanese economy
  • PM Abe, Finance Minister Taro Aso agree to delay sales- tax increase to 2019 without dissolving Lower House: NHK
  • BOJ Governor Kuroda says goal of primary balance in fiscal 2020 is an “important point” in debate over sales tax delay: Hokkaido Shimbun
• Kiwi snaps two-day drop against dollar; down 3.6% in May
  • New Zealand April building permits +6.6% m/m vs revised -9.7% in March; ANZ May business confidence at 11.3, highest since Dec.
• China weakens fixing for second day, by 0.01%; set at lowest level since Feb. 2011; onshore and offshore yuan little changed vs dollar
  • Onshore yuan down 1.6% in May, most since Aug.; offshore yuan also down 1.6%, most since Dec.
  • PMI may strike another blow to yuan before Fed: analysis; China manufacturing PMI due 9am local time Wednesday
  • Yuan fixing more sensitive to dollar strength than weakness: HSBC
  • Chinese sovereign bonds head for worst month in a year
  • New bond rules raise index inclusion prospects: BofAML
  • PBOC Deputy Governor Chen says nation should promote equity financing and lower leverage ratio, Xinhua reported yday
• South Korea April industrial production -2.8% y/y, biggest decline since last July; est. -1.3%
  • Bank of Korea to release minutes from May meeting, when dovish new members joined
  • Won rises, though headed for 4.3% decline in May
• Malaysia’s ringgit down 5.1% for the month, Singapore dollar down 2.5%, Thai baht down 2.3%; Taiwan dollar down 1.0%, Indian rupee down 1.3%; Philippine peso up 0.3%