Factors to watch for in early Asian trade
- Do we see a continuation of the major flows out of emerging markets? In Asia, the INR and IDR have been particularly hard hit whilst overnight it was the BRL which took the brunt of repatriation selling.
- What happens to the Nikkei? USD/JPY will take its lead from the equity markets.
- RBA meeting minutes in 2 hours will add some short-term volatility but no lasting impact.
- Closest ‘big level’ to watch is 88.65/70 in AUD/JPY.