Asian monies mostly up on equity inflows
Asian monies mostly up on equity inflows
Dow Jones, Singapore
Most Asian currencies strengthened against the dollar on
Monday, except for the Philippine peso, which weakened amid
importer demand for the U.S. unit.
Foreign inflows into the equity markets in Taiwan and South
Korea supported the currencies there, dealers said. The Singapore
dollar and Thai baht also strengthened in lackluster sessions,
while the Indonesian rupiah finished little changed.
In Manila, importers stepped up their dollar purchases as they
normally do in the third quarter in preparation for increased
consumer spending for Christmas.
The dollar closed at a four-month high of 53.750 peso, up from
53.720 peso late on Friday.
In Seoul, foreign investors bought a net 105 billion won worth
of shares on the Korea Stock Exchange Monday. Foreigners normally
buy won and sell dollars to settle their purchases.
The dollar closed at 1,178.4 won, down from 1,182.7 won on
Friday.
Tensions over North Korea's nuclear program didn't hurt the
South Korean currency much although investors became "more
cautious" on the news that the communist North may be operating a
second facility, dealers said.
The dollar got some support as Korean companies bought the
U.S. currency to settle their import deals, lifting it as high as
1,182.0 won in the morning session.
Against the New Taiwan dollar, the U.S. currency closed at
NT$34.425, down from NT$34.468 late on Friday.
Overseas investors helped fuel a 1.3 percent rise in the
weighted index of the Taiwan Stock Exchange, dealers said,
helping spur demand for the Taiwan currency.
Foreigners bought a net NT$1.68 billion in Taiwan shares
Monday, according to the Taiwan Stock Exchange.
Another Taiwan dealer said, however, the U.S. dollar will
likely rise against the yen again Tuesday, and that will put more
pressure on the local unit.
With little in the way of domestic news to drive trading in
Singapore, the local currency tracked its regional peers.
Late in Asia the U.S. dollar was quoted at S$1.7576, down from
S$1.7620 late on Friday.
DBS Bank said in a research report published Monday that it
expected domestic data in the coming months to reflect
Singapore's improving economic fundamentals, which would in turn
boost sentiment on the local dollar.
But with no major economic indicators due this week, DBS said
it expected the U.S. dollar-Singapore dollar pair to keep within
the current range of S$1.7500-S$1.7600.
The baht's moves similarly were reflective of the regional
trend.
Near the end of Asian trading the dollar was quoted at 41.70
baht, down from 41.76 baht late on Friday.
"Trading was lackluster, with only a few transactions, due to
an absence of market participants with a public holiday in
Japan," one traders said.
The central bank's monetary policy committee left its 14-day
repurchase market target rate unchanged at 1.25 percent at a
policy meeting Monday, as expected.
Against the rupiah the dollar was quoted at Rp 8,320, barely
changed from late Friday.
Suspected central bank intervention supported the local
currency amid dollar demand from importers and local companies
settling offshore debts.