Asia-Pacific shares trade higher ahead of US inflation report

Credit Suisse’s Asia FX strategist Max Lin said the Thai baht “will recover the strongest” among other Southeast Asian currencies as China reopens.

Lin claimed that Thailand has not imposed any travel restrictions on Chinese tourists and that the government is “still very supportive” of tourism freedom.

“It looks like there will still be a lot of regional tourism demand,” he said, pointing to reports of outbound tourism activity from China on travel booking websites.

The Thai Baht It strengthened to levels seen in April 2022 and last stood at 33.41 against the dollar.

– Lee Yingshan

Shares of some Apple suppliers in Asia fell after that Bloomberg reported on this said that the company will start production of internal screens in 2024.

Shares of South Korea-listed LG Display rose 3.35% in afternoon trade shortly after the report, while Samsung Electronics rose 0.17%. Taiwan Semiconductor Manufacturing Co. also decreased by 0.41%.

Separately, stocks of Shenzhen BOE Technology Groupor Jingdongfang, up more than 1% This was reported by Reuters Apple’s supplier plans to invest a significant amount to build new factories in Vietnam.

– Jihye Lee

Cryptocurrencies rose after cryptocurrency companies Coinbase announced plans to cut 20% of its workforce because it tries to protect cash during the cryptocurrency market downturn.

Bitcoin It last traded up 1.55% at $17,459.63, according to Coin Metrics. Ether It rose 1% to $1,337.85.

Other digital coins such as Cronos and Cardano also posted gains.

CEO Brian Armstrong said there was “no way” to increase the chances of “doing well in every scenario” without cutting costs and reducing headcount.

-Li Ying Shan, Kate Rooney

Inflation in the Philippines is expected to return to the government’s target range within two years, Finance Secretary Benjamin Diokno said.

Diokno told CNBC on the sidelines of the Asia Financial Forum in Hong Kong that he is confident that average inflation for 2023 will be between 2.5 and 4.5 percent.

Headline inflation in the Philippines remains high, rising to 8.1% in December 2022 from 8% in the previous month. according to government data.

Bangko Sentral ng Pilipinas Governor Felipe Medalla announced on Monday that interest rates will be increased by another 25 to 50 basis points in February. Diokno added that he expects the central bank to turn around sometime this year.

“Also, there is a possibility that we will cut at some point this year because we may have exceeded the limit,” he said.

– Charmaine Jacob

Australia’s consumer price index rose 7.3% year-on-year in November Australian Bureau of Statisticsa sign that inflationary pressures have not yet abated.

The figure was in line with Reuters expectations and higher than the 6.9% reading last month.

Housing, food and transportation are among the key components driving growth, the statement said.

Separately, Australia reported a 1.4% increase in sales November was up with Black Friday sales compared to a month ago.

– Lee Yingshan

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– Ganesh Rao

South Korea’s unemployment rate rose to 3.3% in December, the highest level in 11 months, according to government data.

This indicator is 2.9% higher than in November.

Total employed population in 2022 despite higher unemployment figure 816,000 to 28,089 mln from a year ago.

– Lee Ying Shan, Jihye Lee

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– Xavier Ong

Fed Chairman Jerome Powell Tuesday stressed the importance of central bank independence from political influence while fighting persistently high inflation..

In a speech at Sweden’s Riksbank, Powell noted that stabilizing prices requires taking tough decisions that may be politically unpopular.

“Price stability is the foundation of a healthy economy and provides immeasurable benefits to the public over time. But restoring price stability when inflation is high may require unpopular measures in the short term as we raise interest rates to slow the economy.” the chairman said in his prepared speech.

The lack of direct political control over our decisions allows us to take these necessary actions without considering short-term political factors,” he added.

– Jeff Cox

Copper It reached a high level not seen since June.

The metal gained slightly less than 1.3% to settle at $4.0775. It rose to $4.0835, the highest since reaching $4.1160 on June 17.

Copper has gained nearly 7% since 2023.

– Gina Francolla, Alex Harring

Coinbase shares gained 6% after the cryptocurrency operator announced plans to cut 20% of its workforce trying to cut costs.

The layoffs will affect 950 jobs and mark the second round of layoffs from the company in recent months. Coinbase said it grew “too quickly” during the bull market, laying off 18% of its workforce in June in preparation for a potential recession and crypto winter.

Cryptocurrency markets have been under pressure following the bankruptcy of FTX, one of the industry’s largest operators.

Coinbase said the new round of layoffs will reduce operating expenses by 25% for the quarter ending in March, according to a new regulatory filing.

– Kate Rooney, Samantha Subin