Forex news for Asia trading for Friday 15 January 2021

The main points of incoming US President Biden's coronavirus economic rescue plan were reported a couple of hours ahead of his scheduled speech. The response of markets was underwhelming with not a lot of movement. Biden's speech later was a little more impactful, but not by much; there was a small sell off in 'risk' FX and also in US equity index futures. While outlining an enormous stimulus plan (which, of course, must pass Congress where it may be whittled down some) Biden also said it had to be paid for. He mentioned tax loopholes, though you can be sure there will be higher taxes in the mix also. For the next few months/quarters though its not about deficit concern/austerity from Biden but rebooting the health and economy of the US.

Currencies were fairly quiet, trading small ranges only. The USD and yen outperformed.

Forex news for Asia tradingfor Friday15January 2021