ASIA FX: USD/KRW Through 50-day EMA Resistance, PHP Outperformer On The Week

"YEMEN'S HOUTHIS SAY THEY ATTACKED KING KHALID INTERNATIONAL AIRPORT IN RIYADH WITH DRONES, NO IMMEDIATE SAUDI CONFIRMATION - [RTRS]"

Risk sentiment is mostly softer in the equity space, led by South Korean stocks (Kospi down over 1.2% after being up in earlier trade). US equity futures are holding up better, with only Nasdaq futures down a touch. The USD is firmer, the BBDXY index up close to 0.20% (last 1222.10/15). Losses are fairly uniform across the G10 space, although the EUR dip (last off 0.20% to 1.1235) has been prominent in most recent trade (which we see that often in Asia Pac trading hours). EU equity and bond futures re-opening weaker likely in play as focus remains on France's fiscal outlook. NZD/USD is down a little over 0.20% but remains above 0.5600 at this stage. Bitcoin has also slumped, down around 2% to be sub 84k. 

• Oil futures are up around 0.80%, while UST yields are ticking up as well (last 1.5-3bps higher), while gold is down around 0.50%. These moves are consistent with a firmer USD backdrop as well.
• The FOMC Minutes will be in focus later on today in the US session. Since the FOMC delivered what Chair Warsh called a “firm, unanimous decision” to raise rates at its September meeting, softer-than-expected PCE inflation data and nonfarm payroll gains appear to have reduced the urgency for a follow-up hike in October. But the minutes for the meeting (Wednesday Oct 7, 2pm ET) will still be scrutinized for the degree of disagreement over how much tightening Committee members foresaw at that time, and how quickly it should come. (see our full preview here). 

The BoJ offers to buy a total of ¥515tn of JGBs from the market:

• ¥100bn worth of JGBs with <1 Year until maturity
• ¥330bn worth of JGBs with 1-3 Years until maturity
• ¥85bn worth of JGBs with 10-25 Years until maturity