Asian currencies traded mixed against the dollar but may find support from the U.S. Treasury Department's Wednesday announcement to increase buybacks of longer-term bonds. The dollar came under pressure, falling 0.8% in U.S. and European trading against all major currencies. Strategists at OCBC Group Research said the move "helped cap long-end U.S. yields" and signals Treasury discomfort with rising long-term rates.

The dollar slipped 0.3% to 4.0420 ringgit, was little changed at 1.2713 Singapore dollar, and rose 0.2% to 1,390.70 won, per LSEG data. The buyback operations target securities dated 10 to 30 years, allowing Treasury to replace older off-the-run bonds with bill issuance.

Kristina Clifton, FX strategist at CBA, said the news signals Treasury Secretary Scott Bessent is concerned about the recent surge in long-end yields. The 10-year and 30-year yields fell by around 7 and 10 basis points, respectively, following the announcement.