Asian currencies down,
Asian currencies down, tracking yen Dow Jones Singapore
Most Asian currencies were lower late Friday in line with a decline in the yen, after the Bank of Japan intervened once again in global currency markets to weaken the Japanese currency.
The Singapore dollar, the Korean Won, the Indonesian rupiah and the New Taiwan dollar all closed lower against the dollar, while the Philippine peso bucked the trend, getting a moderate lift from the gradual flow of remittances made by overseas Filipino workers.
Market activity was fairly subdued ahead of the weekend, with many traders reluctant to sell dollars due to widespread notions the BOJ will continue to boost the U.S. currency with intervention.
Some traders also remained sidelined due to concerns the U.S. might launch a retaliatory strike in Afghanistan as part of its quest to punish the perpetrators of the Sept.11 terrorist attacks in New York and Washington.
A late afternoon spurt of selling by Japanese banks and Hong Kong trading houses pushed the Singapore dollar lower.
The U.S. currency touched a high for the session at S$1.7675 before ending at S$1.7662, up from S$1.7613 late Thursday.
"There was some selling toward S$1.77 from some large Hong Kong houses," one trader said.
He added that he expects the U.S. dollar to meet firm resistance at that level in the coming sessions, with the immediate trading range likely to fall between S$1.7580 and S$1.77.
The Indonesian rupiah closed lower Friday as local companies continued to buy dollars amid fears the U.S. unit could rise amid growing anti-U.S. demonstrations.
The dollar closed Asian trade at Rp 9,710, its intraday high, up from its close Thursday at Rp 9,685.
Around 2,000 Muslims took to the streets of Jakarta Friday to protest possible U.S. retaliatory strikes against Afghanistan.
Local companies that need dollars for debt repayment or to fund imports are worried the protests might turn violent and send the dollar higher.
Until now, protests have remained peaceful.
But the U.S. State Department has warned its citizens against travel to Indonesia and has allowed all nonessential embassy staff to return home on reports of "credible threats" against U.S. interests in the country.
Still, government intervention is unlikely to stop the dollar bullish mood next week, they added. The dollar should trade upward to test Rp 9,800 next week.
In Seoul, dollar demand from domestic banks and oil importers keen to take care of their dollar needs ahead of a five-day weekend pushed the won lower.
Korean financial markets will be closed Monday and Tuesday for Chuseok, the Korean Thanksgiving, and on Wednesday for National Foundation Day.
The dollar finished at 1,309.6 won, up from Thursday's close of 1,306.4 won. JP/