In the Asia-Pacific FX market today, the US dollar faced some declines as several currencies, including the Australian dollar (AUD), New Zealand dollar (NZD), Canadian dollar (CAD), and British pound (GBP) all saw gains. Notably, USD/JPY experienced a tumble amid current currency movements. China Airlines is nearing a decision to split an order of 20 passenger jets between Airbus and Boeing, indicating strategic diversification in its fleet. On Thursday, there is a significant lineup of European Central Bank speakers scheduled, including Lane and Schnabel appearing multiple times. AUD and NZD are continuing to regain ground following losses from yesterday, reflecting ongoing market adjustments.

In trade news, China reported its October dollar-denominated exports increased by 12.7% year-on-year, while imports fell by 2.3%. On a cumulative basis from January to October, exports rose 5.1% year-on-year, with imports up by 1.7%. These figures suggest that China's external trade remains robust, especially ahead of anticipated US tariffs under President Trump's administration. China's President Xi Jinping congratulated Donald Trump on his election victory, signifying diplomatic engagement. Meanwhile, Ethereum is surging, reaching its highest levels since August.

The Bank of Canada's Deputy Governor, Rhys Mendes, is set to speak on Thursday, providing insights into Canada's economic outlook. In financial markets, Chinese and Hong Kong stocks fell amidst fears over Trump's presidency and related economic policy changes. Nonetheless, China's state banks were active in markets, seen selling USD/CNY to counter rapid yuan depreciation, essentially stepping up interventions to manage currency stability. Perspectives on the Trump electoral victory highlight potential market shifts and sector impacts. The People's Bank of China set today’s USD/CNY reference rate at 7.1659, slightly below estimates, indicating calibrated currency management.

• Vitol reports China is reigniting oil demand growth, which has implications for global commodity markets.
• JP Morgan forecasts the absence of a universal 10% tariff by Trump next year, though China is likely to face stiffer tariffs.
• Australia's trade data revealed month-over-month declines in both imports and exports for September.

A European Central Bank official, Villeroy, remarked that Trump's policies could potentially elevate the US deficit and inflation, highlighting macroeconomic risks. Japan is poised with heightened vigilance in currency exchange markets, as signaled by 'verbal intervention' from Atsushi Mimura, the Vice Finance Minister. September wage data from Japan indicated a slight annual decline in real wages, though base pay surged significantly, presenting mixed signals for the Bank of Japan's policy trajectory.

Further developments include Brazil's central bank raising its benchmark rate by 50bps to 11.25%, aligning with expectations. US Vice President Kamala Harris is currently addressing a live audience, possibly touching on economic or international trade issues. Japan is looking to tighten regulations over cryptocurrency exchanges to safeguard financial stability. Meanwhile, the FX market sees the EUR lagging behind as the AUD, NZD, CAD, and GBP perform stronger against the USD.

The yen also exhibited resilience, taking USD/JPY below 154.00 as new retracement forms post-election. As trade dynamics evolve, China's export vigor appears geared towards anticipating Trump's tariff impositions, whereas softer import trends suggest domestic economic concerns. Chinese equities, following a weak start, saw recovery likely buoyed by government interventions ahead of potential stimulus announcements from the National People's Congress Standing Committee, concluding on Friday.

In energy, Vitol's CEO anticipates China's oil demand to rise by 700,000 barrels per day by 2025, underscoring longer-term growth expectations in energy consumption.