Asian monies mixed late, yen lends support<\/p>\n
SINGAPORE (Dow Jones): A firmer yen helped the Singapore
\ndollar and Thai baht recover some of their recent losses
\nThursday, while continuing political uncertainty pushed the
\nIndonesian rupiah to a 30-month low.<\/p>\n
The beleaguered North Asian currencies were given a breather
\nthanks to market-closing holidays. The Philippine peso finished a
\ntouch lower.<\/p>\n
The yen benefited from Japanese life insurance companies and
\nforeign fund managers unwinding their long dollar positions after
\nthe recent sharp rise in the U.S. currency. The dollar fell below
\nY124 late Thursday after rising as high as Y126.80 in recent
\nsessions.<\/p>\n
The Indonesian rupiah closed lower
\nThursday on political concerns, as local companies continued to
\naccumulate dollars.<\/p>\n
The dollar closed locally at Rp 10,740, off an earlier high of
\nRp 10,765, but up from Rp 10,460 at Wednesday's close.<\/p>\n
Bank Indonesia was heard selling around $50 million through
\nstate banks to help the beleaguered currency, but dealers said
\nthe outlook for the dollar remained bullish as political turmoil
\nshowed no signs of abating.<\/p>\n
President Abdurrahman Wahid is trying to stave off an
\nimpeachment threat by striking a compromise with his opponents.
\nAnticipating a long standoff and possible unrest, corporate
\ncustomers are trying to cover their upcoming dollar needs.<\/p>\n
\"This is just the beginning,\" said a foreign bank trader,
\nreferring to Thursday's dollar rise.<\/p>\n
The Singapore dollar, which had fallen nearly 5 percent so far
\nthis year, responded by posting its best performance against the
\nU.S. dollar this week.<\/p>\n
The uptick in the Singapore currency pushed the U.S. dollar
\nbelow a key support level of S$1.8080 in late in the Asian
\nsession, a dealer at an Asian bank said. Near the end of Asian
\ntrading the U.S. dollar was quoted at S$1.8075, down from
\nS$1.8141 late Wednesday.<\/p>\n
The dealer said the Singapore dollar's momentum was expected
\nto continue into European trading hours, with the U.S. dollar
\nexpected to test its next support level at S$1.8040.<\/p>\n
The Thai baht, which hit a fresh 37-month low a day earlier,
\ngot a reprieve from the rising yen.<\/p>\n
Late in Asian trading the dollar was quoted at 45.260 baht,
\ndown from 45.475 baht late Wednesday.<\/p>\n
Thai Finance Minister Somkid Jatusripitak reiterated Thursday
\nthat he wasn't concerned about the baht's weakness because it was
\nthe result of regional factors.<\/p>\n
\"The baht weakness isn't a domestic issue,\" he told reporters
\nafter a meeting with a visiting team from Moody's Investors
\nService.<\/p>\n
Somkid declined to comment on the central bank's confirmation
\nthat it had intervened in the foreign exchange market to slow the
\nbaht's weakening.<\/p>\n
Bank of Thailand Governor Chatu Mongol Sonakul earlier
\nconfirmed that the central bank sold a small amount of dollars in
\nthe offshore market to limit volatility in the baht.<\/p>\n
The Philippine peso closed off its intraday low as profit-
\ntaking halted the dollar's sharp rise.<\/p>\n
The dollar closed at 50.175 pesos on the Philippine Dealing
\nSystem, up from 50.160 pesos Wednesday. The U.S. currency had hit
\nan intraday high of 50.290 pesos.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/asian-monies-mixed-late-yen-lends-support-1447893297",
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"sponsor": "Okusi Associates",
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