• The Philippine peso outperformed Asian peers following signals of support from the central bank. Most Asian currencies fell ahead of the release of the US core PCE data, the Fed’s preferred inflation gauge.
  • The peso rose against the dollar as central bank signaled that the monetary authority is ready to intervene to stabilize the peso.
  • Asian currencies will remain under pressure amid dwindling expectations for easing from the Federal Reserve.
  • Attention will remain focused on the release of the US core PCE data, the Fed’s preferred inflation gauge — with a stronger- than expected print to further drive hawkish wagers for the Fed.