CANBERA (dpa-AFX) - Westpac analysts noted on Thursday that risk currencies have rebounded in the Asian session despite limited hard news to inspire confidence.
AUD/USD that opened near its low of 0.9911 rose to 0.9962 late in the afternoon, helped by an improved tone in Asian equities. Similarly, NZD/USD climbed from 0.7642 to 0.7677.
EUR/USD also managed to grind out steady gains throughout the morning, though it failed to re-test the New York session highs, capped by 1.2749.
Elsewhere, the Japanese yen saw a modest bounce after the nation's GDP came in stronger than expected at 1.0 percent, beating forecasts for a 0.9 percent growth. However, USD/JPY held in a tight 80.25/39 range on the day. Japanese Prime Minister Yoshihiko Noda said that he expects the country's central bank to take 'decisive and appropriate policy decisions in a timely manner'.
Meanwhile, USD/SGD that opened around 1.2680 ratcheted down to 1.2635 in the Singapore afternoon trade as Shanghai equities extended gains to 1.3 percent. USD/MYR slipped below 3.1070 and USD/TWD dropped 0.4 percent to 29.50 and then traded flat.
Westpac noted that the Korean officials began the day with an emergency meeting on the Greek crisis and quite legitimately pointed out that their forex reserves ($316bn) were ample. The 1-month USD/KRW non-deliverable forwards retreated from the New York session highs of 1172. Spot USD/KRW consolidated around 1162/63 as the Kospi rose a region-lagging 0.4 percent.
The Indian rupee backed off record lows against the U.S. dollar, tracking around 54.34 in the Mumbai morning as the Sensex rose 1 percent, the firm noted.
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