Asian currencies rise across the board<\/p>\n
HONG KONG (Dow Jones): Asian currencies finished higher across
\nthe board Friday, lifted by a stronger yen and by moderately
\nimproved sentiment toward individual countries in the region.<\/p>\n
Market players were uncertain, however, whether all the
\nregionals would be able to sustain the rally into the coming
\nweek.<\/p>\n
Even in the short term, analysts argued, Asian currencies will
\nshow a clear divergence between those perceived as \"new economy\"
\nplays and those seen as representing \"old economies.\"<\/p>\n
\"That's all that anybody is talking about at the moment,\" said
\nVincent Low, foreign exchange and interest rate strategist at
\nMerrill Lynch in Singapore.<\/p>\n
\"Investors are buying into the currencies which offer liquid
\nproxies for new economy technology stock plays.\"<\/p>\n
The relationship between the foreign exchange market and
\ninvestors' love affair with all things technological is clearest
\nin South Korea, where over the last six months the won has shown
\na 95 percent correlation with the benchmark Kospi stock index,
\nsays Low.<\/p>\n
The link held Friday, with the won regaining most of the
\nprevious day's losses as local equity prices reversed Thursday's
\nslide.<\/p>\n
At the end of the Seoul trading session, the U.S. dollar was
\nquoted against the won at 1,119.70 won, down from 1,122.40 won
\nthe previous day.<\/p>\n
The Indonesian rupiah closed higher against the dollar in
\nlethargic trading Friday, taking its cue from the appreciation of
\nthe other regional currencies.<\/p>\n
After trading between Rp 7,360 and 7,410 Friday, the dollar
\nclosed at Rp 7,380 in Asia, up from Rp 7,395 late Thursday in
\nAsia.<\/p>\n
Dealers said the Indonesian Bank Restructuring agency was seen
\nselling the dollar early Friday at around Rp 7,380, pushing the
\nU.S. unit down to its intraday low. However, as the IBRA selling
\nsubsided, higher bids for the dollar emerged, helping it climb to
\nits closing of Rp 7,380.<\/p>\n
They added that the government agency was thought to be
\nselling the dollar since Monday.<\/p>\n
In recent months, the New Taiwan dollar has also benefited
\nfrom foreign fund inflows as investors have bought into
\ntechnology stocks on the Taipei market.<\/p>\n
The flow continued unabated Friday. At the close, the U.S.
\ndollar had been pushed down to NT$30.736, from NT$30.764 the day
\nbefore.<\/p>\n
On Friday the baht edged higher, reflecting an improvement in
\nthe market's view of the case. Near the end of Asian trade, the
\ndollar was quoted against the Thai currency at 37.840 baht, down
\nfrom 37.915 baht late on Thursday.<\/p>\n
The Singapore dollar was also pushed higher, with the U.S.
\ndollar falling to S$1.7062, from S$1.7110 the previous day.<\/p>\n
On the Philippine dealing System the peso continued to rise
\nfollowing a sharp sell-off earlier in the week triggered by a
\nstock market scandal.<\/p>\n
Dealers attributed the recovery partly to corporate customers
\ntaking advantage of the currency's earlier weakness, but warned
\nthat the peso remains vulnerable.<\/p>\n
At the close the dollar was at 40.890 pesos, down from 40.975
\npesos at the end of Thursday's session.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/asian-currencies-rise-across-the-board-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}