Rupiah slightly down late as Asian monies mostly higher<\/p>\n
JAKARTA (Dow Jones): The Indonesian rupiah weakened slightly
\nlate Thursday, barely reacting to a slew of news throughout the
\nday as it showed signs of resuming its downward trend following a
\nstrong rebound over the past two days, dealers said.<\/p>\n
The market reacted with indifference to the potential arrest
\nof former President Soeharto's youngest son, after he defied a
\nsummons by prosecutors to begin serving his prison term for
\ncorruption.<\/p>\n
The dollar was wedged within a tight range of Rp 9,135 to Rp
\n9,175 all day.<\/p>\n
Around 0900 GMT, the dollar was at Rp 9,170, up from Rp 9,130
\nlate Wednesday.<\/p>\n
The rupiah resisted the upward pressure from the Singapore
\ndollar and the Thai baht, which extended their recent recoveries
\nas market participants unwound long dollar positions, dealers
\nsaid.<\/p>\n
In the case of the Indonesian currency, dollar demand from
\nlocal corporates and offshore participants around Rp 9,130 to Rp
\n9,140 provided a floor for the U.S. currency, which had reversed
\nsharply after it failed to break above the psychologically
\nsensitive Rp 9,500 resistance level Tuesday.<\/p>\n
\"I would expect (the dollar's) support around Rp 9,300 to Rp
\n9,120 to hold,\" said a European bank dealer in Singapore. \"We'll
\nprobably move higher, maybe back up to around Rp 9,200 to Rp
\n9,210.\"<\/p>\n
Meanwhile, most Asian currencies strengthened Thursday due to
\na mix of local factors and a new bearish sentiment toward the
\nU.S. dollar.<\/p>\n
In North Asia, new hopes that financial restructuring efforts
\nwill be successful lifted the won. The New Taiwan dollar got a
\nboost from a growing view that President Chen Shui-ban won't be
\nremoved from office.<\/p>\n
Also lending support to the currencies was a strengthening of
\nthe yen against the dollar.<\/p>\n
In Southeast Asia, the Singapore dollar moved higher as market
\nplayers who had been on a dollar-buying binge in recent weeks
\nbegan to back off on concerns that they \"may have gone too far,\"
\na dealer at an Asian bank said.<\/p>\n
The Philippine peso wasn't traded because markets in Manila
\nwere closed for a holiday.<\/p>\n
In Seoul, South Korean banks are slated to announce Friday a
\nlist of companies they deem nonviable, and which have to undergo
\nliquidation, selloffs, or enter court receivership.<\/p>\n
\"People are hoping for some good news on reform and
\nrestructuring when banks release their list of nonviable
\ncompanies tomorrow,\" said Frank Gong, foreign exchange strategist
\nat Bank of America in Hong Kong.<\/p>\n
Against the South Korean won, the U.S. dollar closed at
\n1,133.5 won, down from 1,135.9 won Wednesday.<\/p>\n
In Taipei, the U.S. dollar fell to NT$32.271 from NT$32.363 a
\nday earlier.<\/p>\n
The New Taiwan dollar also was helped by rising stock prices,
\na dealer said. The Weighted Price Index of the Taiwan Stock
\nExchange closed up 201.06 points, or 3.7 percent.<\/p>\n
The Thai baht, which had strengthened for most of the day in
\nline with the Singapore dollar, ended the day little changed.<\/p>\n
Late in Asian trading, the dollar was quoted at 43.640 baht,
\nup slightly from 43.635 baht late Thursday. Dealers said the baht
\ngave up some of its gains late in the day when foreign exchange
\ntrading opened in London.<\/p>\n
In Bangkok, Thai Deputy Premier Supachai Panitchpakdi said
\nThursday the recent weakness in the baht was a reflection of the
\ndollar's strength, noting that the Thai currency hasn't weakened
\nas much as some other regional currencies like the Philippine
\npeso.<\/p>",
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