* Middle East tensions push oil prices higher
* Rupee slides to a near 3-week low
* Yuan gains around Sino-U.S. trade optimism
(Adds text, updates prices)
By Aby Jose Koilparambil
July 22 (Reuters) - Most Asian emerging currencies fell on
Monday as the U.S. dollar held steady, while heightened tensions
in the Middle East pushed oil prices higher.
The dollar index .DXY was barely changed at 97.171 after
gaining 0.35% last week, but the greenback broke above 108 yen
to hit its highest since Wednesday, still in the middle of the
107-109 range where it has traded for a month.
Underpinning the dollar, investors on Friday tempered
expectations for deep U.S. interest rate cuts later this month,
though a quarter-point cut is still widely
expected. FRX/ FEDWATCH
Brent crude LCOc1 futures were up 51 cents, or 0.8%,
at$62.98 a barrel by 0042 GMT after a British tanker was seized
by the Iranian military at the end of last week. O/R
Any rise in oil prices puts pressure on major importers of
the commodity in the region such as India, Indonesia and
Thailand.
The dollar would hold the upper hand in Asia this week and
the "jittery risk environment" surrounding Iran tensions could
further impinge on the Asian currencies, OCBC Bank analysts said
in a note on Monday.
The Indian rupee INR=IN fell as much as 0.4% to a near
three-week low, while the Indonesian rupiah IDR=ID slid as
much as 0.3% to 13,965 against the dollar.
The Thai baht TBH=TH lost up to 0.3%. The currency was
little fazed by trade data which showed June exports fell 2.15%
year-on-year, smaller than the Reuters poll forecast of 5% drop.
Exports, the main driver of Thai growth, declined for a
fourth straight month in June.
The South Korean won KRW=KFTC also depreciated, shedding
up to 0.4% to 1,179.10 against the dollar, as the
export-oriented economy's shipments for the first 20 days of the
month fell a sharp 13.6% from a year earlier, according to
customs data. Semiconductor products, which make up for about one-fifth of
the country's total exports, suffered a 30.2% drop in overseas
shipments, the Korea Customs Service data showed.
Meanwhile, the Chinese yuan CNY=CFXS inched up 0.06% on
investor hopes that Sino-U.S. trade tensions may be easing.
L4N24N0YB
Some Chinese companies are seeking new purchases of U.S.
agricultural products, China's official Xinhua news agency said
on Sunday, citing authorities, and investors widely take these
kind of developments as gestures of goodwill between the world's
two largest economies to end the year-long trade war.
The Malaysian ringgit MYR=MY and the Philippine peso
PHP= were little changed.
CURRENCIES VS U.S. DOLLAR
Change on the day at 0508 GMT
Currency Latest bid Previous day Pct Move
Japan yen 107.970 107.7 -0.25
Sing dlr 1.361 1.3600 -0.08
Taiwan dlr 31.075 31.050 -0.08
Korean won 1177.500 1174.5 -0.25
Baht 30.850 30.77 -0.26
Peso 51.120 51.09 -0.06
Rupiah 13960.000 13930 -0.21
Rupee 68.990 68.80 -0.27
Ringgit 4.112 4.112 +0.00
Yuan 6.879 6.8810 +0.03
Change so far in 2019
Currency Latest bid End 2018 Pct Move
Japan yen 107.970 109.56 +1.47
Sing dlr 1.361 1.3627 +0.12
Taiwan dlr 31.075 30.733 -1.10
Korean won 1177.500 1115.70 -5.25
Baht 30.850 32.55 +5.51
Peso 51.120 52.47 +2.64
Rupiah 13960.000 14375 +2.97
Rupee 68.990 69.77 +1.13
Ringgit 4.112 4.1300 +0.44
Yuan 6.879 6.8730 -0.09