International Business Weekly
  • Home
  • News
  • Politics
  • Business
  • National
  • Culture
  • Lifestyle
  • Sports
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • National
  • Culture
  • Lifestyle
  • Sports
No Result
View All Result
International Business Weekly
No Result
View All Result
Home National

Bullish Bets On Asian FX As Easing Of China COVID Curbs Boosts Outlook – Reuters Poll

Brand Post by Brand Post
January 26, 2023
in National
0
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter


Chinese Yuan banknotes are seen in this illustration picture taken June 14, 2022.
Reuters

Bullish bets on the Singapore dollar and the Malaysian ringgit further consolidated to scale five-year highs as a fizzling U.S. dollar rally and China’s pivot from its strict COVID-19 curbs boosted investor appetite for Asian emerging currencies, a Reuters poll showed on Thursday.

Investors were bullish on all nine Asian emerging currencies for the first time in nearly two years, with bets firming after a massive downturn against the greenback last year due to the U.S. Federal Reserve’s aggressive monetary tightening.

“Positions on the Asian currencies are likely to remain steady with a bias to appreciate given the fact markets are pricing in a smaller rate hike by the U.S. Federal Reserve,” said Suresh Ramanathan of RHB Group.

The appetite for high-risk Asian assets has been boosted by a double dose of China, a manufacturing powerhouse and the region’s largest trading partner, dismantling its stringent COVID-19 curbs and improving bets that local central banks are nearing the end of their tightening cycle.

Last week, the Malaysian central bank surprised the market by standing pat on its benchmark interest rate after four consecutive hikes in 2022, while Bank Indonesia signalled its tightening cycle was ending owing to cooling inflation.

Long positions on Singapore’s dollar and the Malaysian ringgit firmed to touch their highest level since January 2018, while those on the Indonesian rupiah jumped sharply from prior survey to multi-year highs, a fortnightly poll of 10 analysts showed.

The Singapore dollar, the only Asian currency to have appreciated last year, has also started 2023 on a strong footing, advancing 2.1% so far to trade at its highest since April 2018.

“That Singapore’s core inflation remained elevated (in December) and still showed signs of stickiness strengthens our conviction for the MAS to tighten policy in April, supporting a stronger Singapore dollar in the medium term,” Maybank analysts said in a note.

Separately, the U.S. Federal Reserve will start its two-day policy meeting next week, and markets have priced in a 25-basis-point interest rate hike, a step down from the central bank’s 50 bp and 75 bp increases seen last year. [FEDWATCH]

The poll also showed bullish bets on the Philippine peso hit highest level in more than two years, with long positions slightly easing on Thai baht, China’s yuan, and South Korean won.

Meanwhile, long positions on the Indian rupee were observed for the first time in a year, however, bets on the unit were the least in comparison with its peers.

The Asian currency positioning poll is focused on what analysts and fund managers believe are the current market positions in nine Asian emerging market currencies: the Chinese yuan, South Korean won, Singapore dollar, Indonesian rupiah, Taiwanese dollar, Indian rupee, Philippine peso, Malaysian ringgit and the Thai baht.

The poll uses estimates of net long or short positions on a scale of minus 3 to plus 3. A score of plus 3 indicates the market is significantly long the U.S. dollar.

The figures include positions held through non-deliverable forwards (NDFs).

The survey findings are provided below (positions in U.S. dollar versus each currency):

DATE USD/ USD/ USD/S USD/I USD/T USD/I USD/ USD/ USD/T

CNY KRW GD DR WD NR MYR PHP HB

26-Jan-23 -1.2 -1.1 -1.40 -1.15 -0.68 -0.47 -1.2 -0.7 -1.77

9 4 5 8

12-Jan-23 -1.5 -1.3 -1.31 -0.10 -0.67 0.07 -0.8 -0.6 -1.85

8 9 2 1

15-Dec-22 0.08 -0.5 -0.85 0.92 -0.22 0.63 -0.3 -0.1 -0.69

5 6 5

1-Dec-22 0.63 -0.1 -0.3 1.08 0.15 0.76 -0.0 0.33 -0.16

5 2

17-Nov-22 0.74 0.21 -0.06 1.06 0.84 1.13 1.18 0.89 0.4

03-Nov-22 1.81 1.38 0.47 1.57 1.81 1.47 2.02 1.36 1.34

20-Oct-22 1.96 2.02 1.13 1.83 1.98 1.60 2.33 1.94 2.00

06-Oct-22 1.94 2.25 1.53 1.86 2.12 1.55 2.22 2.16 2.08

22-Sept-22 2.09 2.39 1.61 1.35 2.37 1.23 1.90 1.94 1.86

08-Sept-22 2.04 2.33 1.54 1.13 1.93 1.35 1.89 1.70 1.59



Source link

Tags: AsianBetsBoostsBullishchinaCovidCurbsEasingOutlookPollReuters
Brand Post

Brand Post

Related Posts

National

‘Unbearable Distress’: Families Rally For French Held In Iran

January 28, 2023
National

‘Avatar’ Pits Movie Theaters Against Netflix

January 28, 2023
National

CDC Urges Extra COVID-19 Precautions For Immunocompromised People

January 28, 2023
Next Post

Jared Bridegan: Convicted Felon Henry Tenos Arrested in Murder of Microsoft Executive Rented His House from New Husband of Ex-Wife

South Sudan's Displaced Hope Pope's Visit Will Bring Peace

Fire At Illegal NYC Daycare Injures 18 Children; 1 Critical

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Follow Us

  • 86.7k Followers

Recommended

George Santos Proposed to His Teen Boyfriend and Planned Engagement Party With Him While He Was Still Married to a Brazilian Woman

4 days ago

US To Impose Sanctions On Iranian Group Who Targeted Author Salman Rushdie

3 months ago

Hideous: Father, Stepmother and Step-Aunt Charged for Locking Up 9-year-old Boy in Dog Kennel

3 months ago

Marketmind: It’s Fed D-Day

2 months ago

Instagram

    Please install/update and activate JNews Instagram plugin.

Categories

  • Business
  • Culture
  • Lifestyle
  • National
  • News
  • Politics
  • Sports
  • Travel
  • Uncategorized
  • World

Topics

Arrested Attack biden billion china Claims Court Covid Crypto Cup Day Dead Death details Dies Harry Heres Home inflation Killed Man million musk Nuclear Oil Police Prince Report Russia Russian Set Shows South Star Top Trump twitter Ukraine video War WATCH Woman World Year Years
No Result
View All Result

Highlights

Rheinmetall Eyes Boost In Munitions Output, HIMARS Production In Germany – CEO

Gucci Names De Sarno As Creative Director With Task Of Reviving Brand

FTX Founder Bankman-Fried Objects To Tighter Bail, Says Prosecutors ‘Sandbagged’ Him

49ers vs. Eagles Could Draw 50 Million Viewers

Americans Won’t Feel Inflation Cooldown Anytime Soon

Video of Kerala broiler chicken seller threatening to reveal list of debtors goes viral

Trending

National

‘Unbearable Distress’: Families Rally For French Held In Iran

by Brand Post
January 28, 2023
0

Benjamin Briere was arrested in May 2020 and sentenced to eight years and eight months in prison...

‘Avatar’ Pits Movie Theaters Against Netflix

January 28, 2023

CDC Urges Extra COVID-19 Precautions For Immunocompromised People

January 28, 2023

Rheinmetall Eyes Boost In Munitions Output, HIMARS Production In Germany – CEO

January 28, 2023

Gucci Names De Sarno As Creative Director With Task Of Reviving Brand

January 28, 2023

ABOUT US

International Business Weekly is an American entertainment magazine. We cover business News & feature exclusive interviews with many notable figures

Copyright © 2022 - International Business Weekly

  • About
  • Advertise
  • Careers
  • Contact

No Result
View All Result
  • Home
  • Politics
  • News
  • Business
  • Culture
  • National
  • Sports
  • Lifestyle
  • Travel

Copyright © 2022 - International Business Weekly by Services4Websites