FX Asia Slides as Dollar Firms

Most Asian currencies slipped on Friday but were on track to post weekly gains, after US President-elect Donald Trump’s news conference this week offered little clarity on his fiscal policy plans and dented the US dollar.

The Philippine peso slipped 0.3% on the day, weighed down by falls in Philippine shares. The Indonesian rupiah and Indian rupee eased 0.2%.

A bigger-than-expected drop in China’s exports in December weighed on Asian currencies, although the Chinese trade data also contained some encouraging signs, with imports rising slightly more than expected.

Traders seem to be looking to buy the US dollar on dips, said Stephen Innes senior trader for FX broker OANDA in Singapore.

“The Trump reflation trade is springing a leak, but I don’t think it’s over,” Innes said.

REUTERS

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Stephen Innes

Stephen Innes

Senior Currency Trader and Analyst at OANDA
Stephen has over 25 years of experience in the financial markets and specializes in Asian currencies at OANDA. After having started his trading career with NatWest Bank, he is currently based in Singapore as a Senior Currency Trader and Analyst with OANDA, focusing on the movement of the Aussie Dollar and ASEAN Currencies. Stephen has an extensive trading experience in Interest Rate Futures, Money Markets and Precious Metals. Prior to joining OANDA, he worked with organizations like Cambridge Mercantile, Nat West, Garvin Guy Butler, Sumitomo Mitsui Banking Corporation. Stephen was born in Glasgow, Scotland, and holds a Degree in Economics from the University of Western Ontario.
Stephen Innes
Stephen Innes

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