US chip stocks rebound after semiconductor index loses more than 11%
The Philadelphia semiconductor index rose 2.8% on October 19, putting it on track to end an eight-session decline.
Dollar steadies after three-week low as Australian currency edges up
The Australian dollar rose 0.1% after RBA Deputy Governor Andrew Hauser warned of a deteriorating inflation outlook.
The U.S. dollar remained subdued on October 21 after reaching a three-week low, with lower Treasury yields and oil prices weighing on its appeal. The dollar index stood at 101.78, little changed after a 0.2% decline.
Australia's currency gained 0.1% to $0.7013, close to its three-week peak of $0.7017. Reserve Bank of Australia Deputy Governor Andrew Hauser said at a Citi conference that the inflation outlook had deteriorated significantly, leaving him uncertain whether another policy rate increase would be needed in November.
Crude prices retreated after reaching a five-month high. Traders weighed talks between Iran's president and Pakistan's army chief, who is mediating between Washington and Tehran, alongside continuing Houthi strikes on Saudi infrastructure and reports of attacks on vessels in the Gulf.
U.S. stocks advanced as technology earnings began with SpaceX results, while Japan's Nikkei and South Korea's KOSPI also rose. Commonwealth Bank of Australia economist and currency strategist Carol Kong said major technology companies' earnings could significantly influence the dollar because of their importance to equity sentiment and the growth outlook.
Other major exchange rates moved little: the dollar traded at 158.33 yen, the euro at $1.1229 and sterling at $1.33735. New Zealand's dollar fell 0.1% to $0.5677, while the Canadian dollar held at C$1.4064.