• Investing
  • Stock
  • Economy
  • Editor’s Pick
Portfolio Performance Today
Stock

Asian FX rally? Poll reveals growing bullishness driven by weaker dollar

by May 1, 2025
by May 1, 2025

Investor sentiment towards most Asian currencies has turned increasingly positive, with market participants ramping up bullish positions as the US dollar continues to grapple with pressure stemming from uncertainty surrounding President Donald Trump’s trade policies, a Reuters poll revealed Thursday.

The fortnightly survey, encompassing the views of 10 analysts and fund managers, showed a clear trend towards increased optimism for regional currencies.

Respondents significantly increased their long positions – bets that the currency will appreciate against the US dollar – on the Singapore dollar, the Indian rupee, the Thai baht, and the Philippine peso.

Furthermore, a notable shift occurred as investors turned bullish on the South Korean won, the Taiwan dollar, and the Malaysian ringgit for the first time since October last year.

This growing confidence reflects the dollar’s recent struggles; the US currency suffered its weakest monthly performance in two-and-a-half years during April, primarily due to tariff tensions sparking fears of a global economic slowdown and consequently denting the appeal of US assets.

Dollar stabilizes tentatively, but undercurrent remains

While the greenback has shown some signs of stabilization more recently, partly aided by tentative indications of progress in broader trade negotiations (including with China, the target of the highest US levies), the underlying pressure persists.

Parisha Saimbi, an EM Asia FXLM strategist at BNP Paribas, acknowledged the recent stability but highlighted the potential for continued support for Asian currencies.

“With risk sentiment stabilizing on tentative signs of a U.S.-China de-escalation and the bond-vigilant US administration helping to curtail a UST sell-off, Asian currencies could be somewhat supported tactically,” she commented.

Philippine peso leads gains

Among the regional currencies, bullish bets on the Philippine peso reached their highest level since mid-September. The peso enjoyed a strong April, gaining 2.6% against the dollar.

Analysts at Barclays suggested this strength stems partly from a market narrative perceiving the Philippines as relatively more insulated from direct tariff threats compared to some neighbors, facing comparatively modest 17% levies.

Conversely, while analysts trimmed their bearish (short) positions slightly on the Chinese yuan and the Indonesian rupiah, sentiment towards the rupiah remained firmly negative overall.

The Indonesian currency has been under pressure since March due to concerns regarding the country’s fiscal health and specific government policies.

Its sharp fall to a record low in early April prompted intervention from Bank Indonesia (BI) to support the currency, including holding policy rates steady last week to promote stability.

Despite the rupiah’s recent weakness, BNP Paribas’ Saimbi sees potential for a turnaround.

“Valuations are attractive to turn tactically long on the rupiah now,” she suggested, adding that there is “scope for some portfolio inflows if risk sentiment stabilizes,” potentially allowing the rupiah to catch up with its regional peers.

The latest results clearly indicate a growing preference among market participants for holding Asian currencies over the US dollar.

The post Asian FX rally? Poll reveals growing bullishness driven by weaker dollar appeared first on Invezz

0 comment
0
FacebookTwitterPinterestEmail

previous post
Supreme Court weighs religious liberty dispute over public funding for Catholic charter school
next post
Why the Starbucks CEO still backs SBUX stock despite earnings slump

Related Posts

Opendoor stock plunges 21% after weak forecast: could...

August 7, 2025

Why Upstart stock tanked on Q2 earnings and...

August 7, 2025

GLD ETF analysis: is this gold fund on...

August 7, 2025

Asian markets open: Nikkei flat on US chip...

August 7, 2025

Europe markets open: Stocks rise; Maersk Q2 profit...

August 7, 2025

SoftBank posts strong quarterly profit of around $2.9B...

August 7, 2025

Trump and Putin to meet next week; White...

August 7, 2025

Is America really getting rich off tariff revenue?

August 7, 2025

Israel’s Leviathan gas field secures historic $35B export...

August 7, 2025

Trump’s tariff gamble on chips and drugs could...

August 6, 2025

Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.

By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

Recent Posts

  • What Families Gain at the Dinner Table

    August 7, 2025
  • Superman, Sneaking Snacks into Movies, and the Mystery of Social Order

    August 7, 2025
  • How Telematics Is Reshaping Transportation

    August 7, 2025
  • What Families Gain at the Dinner Table

    August 7, 2025
  • Would Superman Bring Coffee to the Movies?

    August 7, 2025
  • Opendoor stock plunges 21% after weak forecast: could more downside be ahead?

    August 7, 2025

Editors’ Picks

  • 1

    Meta executives eligible for 200% salary bonus under new pay structure

    February 21, 2025
  • 2

    Walmart earnings preview: What to expect before Thursday’s opening bell

    February 20, 2025
  • 3

    New FBI leader Kash Patel tapped to run ATF as acting director

    February 23, 2025
  • 4

    Anthropic’s newly released Claude 3.7 Sonnet can ‘think’ as long as the user wants before giving an answer

    February 25, 2025
  • 5

    Nvidia’s investment in SoundHound wasn’t all that significant after all

    March 1, 2025
  • 6

    Cramer reveals a sub-sector of technology that can withstand Trump tariffs

    March 1, 2025
  • 7

    Elon Musk says federal employees must fill out productivity reports or resign

    February 23, 2025

Categories

  • Economy (2,114)
  • Editor's Pick (210)
  • Investing (185)
  • Stock (1,413)
  • About us
  • Contact us
  • Privacy Policy
  • Terms & Conditions

Copyright © 2025 Portfolioperformancetoday.com All Rights Reserved.

Portfolio Performance Today
  • Investing
  • Stock
  • Economy
  • Editor’s Pick
Portfolio Performance Today
  • Investing
  • Stock
  • Economy
  • Editor’s Pick
Copyright © 2025 Portfolioperformancetoday.com All Rights Reserved.

Read alsox

President Trump reconsiders 50% tariff hike as...

March 12, 2025

Where to invest $10,000 right now for...

April 28, 2025

What is Lip-Bu Tan doing for Intel...

July 26, 2025