Asian currencies end mostly flat-higher

Asian currencies end mostly flat-higher

HONG KONG (Dow Jones): The majority of Asian currencies ended local hours Monday flat to a touch higher, as regional markets stagnated ahead of the end of the year.

The South Korean won, however, lost ground, depressed by dollar purchases executed by state-run banks in Seoul.

The Thai baht ended slightly stronger in thin trading after the government of Prime Minister Chuan Leekpai defeated an opposition censure motion by 229 votes to 125 in parliament.

Generally positive investor sentiment toward the Thai currency was further reinforced when the state planning agency said gross domestic product in the third quarter grew by 7.7 percent compared with the same period the previous year. Industrial production was up by 17.4 percent.

Officials predicted that Thailand's GDP will grow by 4.1 percent over 1999 as a whole, and forecast 4.4 percent growth for 2000. As import demand picks up next year, the country's current account balance is expected to shrink, but at 6 percent of GDP the surplus should continue to support the baht.

Toward the end of Asian trading, the U.S. dollar was quoted against the baht at 37.9750 baht, down from 38.0025 baht late Friday.

The Philippine peso also ended a touch stronger on Monday, but with only around US$93 million traded during the session, far less than normal market volume at other times of the year, observers hesitated to read any significance into the currency's advance.

At the Manila close the dollar was quoted at 40.570 pesos, down from 40.635 pesos Friday.

The Singapore dollar ended Asian hours barely changed, with the U.S. currency quoted at S$1.6730, compared with S$1.6725 Friday. Dealing was unaffected by news that Singapore's non-oil exports were up by an unexpectedly large margin of 24.5 percent in November compared with the previous year.

The market had expected a rise of around 18 percent, but wary of official intervention, dealers remained reluctant to bid the local currency higher.

Against the Indonesian rupiah, the dollar ended steady at Rp 7,092 compared with Rp 7,065 Friday.

The U.S. currency also gained against the won, which closed down in response to dollar purchases from state-run banks and domestic corporations.

At the Seoul close, the dollar was at 1,136.00 won up from 1,130.30 won on Friday.

The New Taiwan dollar ended little changed, with the U.S. dollar finishing at NT$31.661 compared with NT$31.657 at the previous close. Trading volumes were a slim $149.50 million.