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EM ASIA FX-Most Asian currencies becalmed ahead of Fed decision

Published 06/18/2019, 01:30 PM
Updated 06/18/2019, 01:40 PM
© Reuters.  EM ASIA FX-Most Asian currencies becalmed ahead of Fed decision
USD/SGD
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USD/MYR
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USD/PHP
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* Fed meeting in focus
* Thai baht leads regional losses
* Rupee strengthens on drop in oil prices

(Adds text, updates prices)
By Shriya Ramakrishnan
June 18 (Reuters) - Most emerging Asian currencies held in a
narrow range on Tuesday, reflecting investors' caution ahead of
a U.S. Federal Reserve meeting that is expected to lay the
groundwork for a rate cut later this year.
The Fed's two-day meeting concludes on Thursday. It is
expected to leave borrowing costs unchanged and provide insight
into the impact of the U.S.-China trade war, Trump's insistence
on lower interest rates and recent weaker economic data.
"With scant data releases and no significant developments on
the trade front, the mood in Asia will likely remain cautious
with investors awaiting the FOMC meeting and possible
adjustments to the dot plots before taking on substantial bets,"
ING said a note.
Leading declines in the region, the Thai baht THB=TH shed
0.2% against the greenback, while the Singapore dollar SGD=
was largely unchanged.
Investor focus will also turn to a slew of regional central
bank meetings later this week. Central banks around the globe
have begun to adopt a dovish trend to support their economies
amid increasing pressure on global growth as the U.S.-China
trade war drags on.
The central banks of Philippines, Indonesia and Taiwan will
decide on their respective benchmark interest rates on Thursday.
Weaker crude prices helped in limiting losses in currencies
of the region's net importers, with the Indian rupee INR=IN
gaining 0.2% against the greenback, and the Philippine peso
PHP= also strengthened.
The Malaysian ringgit MYR= and the Chinese yuan CNY=CFXS
edged lower on the day.

THE PHILIPPINE PESO
The Philippine peso was the best performer on the day,
strengthening as much as 0.3% against the greenback.
Data released on Monday showed Filipinos working overseas
sent home $2.44 billion in April, an increase of 4% compared
with a year ago. ING said in a note that overseas remittances were still
below market expectations which could indicate that the current
account remains in substantial deficit in the second quarter.
Last week, the central bank flagged a wider current account
deficit for the year, as the outlook for exports deteriorated
amid weaker global demand. VS U.S. DOLLAR
Change on the day at 0507 GMT
Currency Latest bid Previous day Pct Move
Japan yen 108.320 108.55 +0.21
Sing dlr 1.371 1.3706 -0.01
Taiwan dlr 31.520 31.520 +0.00
Korean won 1185.500 1186.5 +0.08
Baht 31.360 31.31 -0.16
Peso 52.140 52.24 +0.19
Rupiah 14330.000 14330 +0.00
Rupee 69.783 69.90 +0.17
Ringgit 4.181 4.177 -0.10
Yuan 6.927 6.9258 -0.01

Change so far in 2019
Currency Latest bid End 2018 Pct Move
Japan yen 108.320 109.56 +1.14
Sing dlr 1.371 1.3627 -0.59
Taiwan dlr 31.520 30.733 -2.50
Korean won 1185.500 1115.70 -5.89
Baht 31.360 32.55 +3.79
Peso 52.140 52.47 +0.63
Rupiah 14330.000 14375 +0.31
Rupee 69.783 69.77 -0.02
Ringgit 4.181 4.1300 -1.22
Yuan 6.927 6.8730 -0.77




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