Japan Services PPI (YoY) Sep: 0.6% (exp 0.6% prev rev 0.8%)
China Industrial Profits (YoY) Sep: -0.1% (prev -8.8%)
Australia ANZ Roy Morgan Weekly Consumer Confidence Index (W/E 25 Oct): 113.4 (prev 113.3)
PBoC Fixes Yuan Reference Rate At 6.3494 (prev 6.3549)
Singapore PM Lee: Singapore Must Prepare For Economic Slowdown — Straits Times
The US Dollar weakened yesterday, following worse than expected New Home Sales data. In the Asian session, the USD remained offered, while the Japanese Yen rallied. The Yen benefited from a slight shift in risk appetite and declining stock markets. The Nikkei fell 0.80 % so far, while the Shanghai Composite lost almost 2 % on the day.
USD/JPY was trading around 121.00 at the Sydney open and came under pressure as Japanese markets opened. It eventually fell to a low of 120.48 and next support is seen at 120.20, which is last Friday's low. EUR/USD recovered somewhat after 1.10 support held. It reached 1.1070 overnight, but selling interest remains high amid renewed EUR-negative sentiment after the recent ECB meeting. Strong resistance is seen at 1.1140 and 1.1185.
AUD/USD has been well bid yesterday, but ran out of steam around 0.7270. Overnight, it fell to a low of 0.7227 and the next notable support level lies at 0.7180, which is last week's low. Similar price action in NZD/USD, which struggled at 0.68 and fell back to 0.6770.