Asian currencies mostly down late<\/p>\n
TOKYO (Dow Jones): Asian currencies were mostly lower against
\nthe dollar late Monday as most felt a mild drag from a slightly
\nweaker yen.<\/p>\n
The currencies that bucked the trend were the Thai baht, which
\nrose slightly on the new central bank governor's hints of higher
\ninterest rates, and the rupiah, which firmed as trading volumes
\nthinned due to an Indonesian holiday.<\/p>\n
Late Monday, the dollar was trading at Rp 11,361, down from Rp
\n11,450 late Friday.<\/p>\n
Incoming Thai central bank Governor Pridiyathorn Devakula
\nconfirmed Monday that there would be changes in monetary policy,
\nby saying that \"monetary policy depends on economic conditions
\nand if conditions change, monetary policy has to be adjusted
\ntoo.\"<\/p>\n
Pridiyathorn, giving his first official address since his
\nappointment by the government last week, stressed that the
\nchanges will be aimed at two main objectives: economic growth and
\nensuring the stability of the baht.<\/p>\n
In a clear signal that an interest rate hike is forthcoming,
\nhe said that interbank rates should be somewhere between bank
\ndeposit and lending rates. If interbank rates are below deposit
\nrates, banks are forced to maintain a wide margin between deposit
\nand lending rates.<\/p>\n
Late in Asian trading, the dollar was trading at 45.370 baht,
\ndown from 45.550 baht late Friday.<\/p>\n
Most other regional currencies tracked the yen's modest
\nretreat from its intraday highs against U.S. dollar, drifting
\nlower in rangebound trading.<\/p>\n
Against the Singapore dollar, the U.S. dollar was quoted at
\nS$1.8132 in late trading, up from 1.8089 late Friday, though
\nsentiment remained mixed, traders said.<\/p>\n
While corporate demand for U.S. dollars and a weaker yen
\nhelped provided support for the U.S. currency, profit-taking kept
\nit capped around S$1.8150.<\/p>\n
The Philippine peso was hurt by the uncertainty about the
\nhostage situation amid clashes between the military and the
\nMuslim extremist group Abu Sayyaf, which is holding foreign and
\nlocal hostages in a remote southern jungle.<\/p>\n
\"We never know who is going to be kidnapped next or what will
\nhappen next,\" said a trader from a foreign bank.<\/p>\n
The dollar closed at 50.765 pesos, up from 50.750 pesos last
\nFriday.<\/p>\n
The New Taiwan dollar also ended lower Monday as importers,
\noffshore players and local banks bought the U.S. dollar, traders
\nsaid.<\/p>\n
The U.S. dollar closed at NT$34.065, up from Friday's
\nNT$34.042.<\/p>\n
The South Korean won was slightly softer against the dollar
\nfollowing the yen's retreat. The dollar closed at 1,285.8 won,
\nagainst Friday's close of 1,285.4 won.<\/p>\n
But overall, \"it was a dull market,\" said Citibank economist
\nOh Suktae, with trading stuck between 1,283.0 won and 1,287.0 won
\nand as the \"dollar\/yen seems to be the only market factor.\"<\/p>\n
On Monday, the dollar bounced back after an early fall to
\nY118.85, boosted by warnings against excessive euro weakness by a
\nsenior Japanese finance ministry official.<\/p>\n
Japan's Vice Finance Minister for International Affairs
\nHaruhiko Kuroda said that the euro is \"too weak against the
\ndollar and the yen\" and that falls \"aren't justified by current
\neconomic fundamentals.\"<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/asian-currencies-mostly-down-late-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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