The Dollar traded slightly higher across the board during
Asia-Pacific session as it touched 3-day highs in USD index at 80.14 in an
intraday double high, last at 80.09, just where it was 2 months ago. USD has
been stronger since previous Asia-Pacific open yesterday against Pound, Euro,
Swiss Franc, and specially Yen, while it's been weaker against the commodity
currencies such as Aussie or Kiwi.
The
U.S. economic damages
inflicted by Hurricane Sandy could reach $50 billion, according to new estimates
that are more than double a previous forecast. Some economists warned on
Thursday that the storm could shave a half percentage point off the nation’s
economic growth in the current quarter.
In other news, there
have been no surprises in the Bank of Japan Monetary policy minutes from Oct4/5,
with members insisting that Japan's economy faces the critical challenge of
overcoming deflation.
As the statement reads, "this challenge will be
met through efforts by a wide range of economic agents to strengthen the
economy's growth potential and support from the financial side. It will proceed
with the monetary easing in a continuous manner by steadily increasing the
amount outstanding of the Asset Purchase Program." "The Bank continues to
conduct monetary policy in an appropriate manner. The Bank will also do its
utmost to ensure the stability of Japan's financial system, while giving
particular attention to developments in global financial market" the statement
adds.
Elsewhere,
Australia’s Producer Price Index remains at 1.1% in 3Q, while New Zealand’s
commodity prices rose for the third straight month in October, led by gains in
wool and dairy products while aluminium fell. The ANZ Commodity Price Index
increased 1.3% last month, with 12 commodity prices gaining two declining and
three unchanged.
