* Taiwan dollar at over 1-mth high
* Chinese yuan edges up
* Indonesia posts biggest trade deficit in 7 months
(Adds text, updates prices)
By Shriya Ramakrishnan
Dec 16 (Reuters) - Most emerging Asian currencies moved in
tight ranges on Monday, as market participants awaited more
concrete details on a phase one trade agreement between the
United States and China that was announced last week.
While both sides have cancelled their plan to impose fresh
tariffs on each other, the United States has decided to reduce
some tariffs in exchange for what U.S. officials said would be a
big jump in Chinese purchases of American farm products and
other goods. However, a date for senior U.S. and Chinese officials to
formally sign the agreement is still being determined, U.S.
Trade Representative Robert Lighthizer said on Sunday.
"They have moved around the jigsaw pieces a little to make
it appear like two-way concessions were exchanged, but none of
the commitment is contractual just yet," Mahesh Sethuraman,
deputy head of global sales trading at Saxo Capital Markets
said.
"U.S. hopes the deal will be signed off in January, while
China is not quite singing from the same song sheet. What the
announcement has done is to take away the possibility of a
breakdown in talks for the near term."
Analysts also said the markets were expecting a greater
rollback of U.S. tariffs as the deal left 25% of tariffs on $250
billion worth of Chinese imports unchanged.
The Chinese yuan CNY=CFXS strengthened marginally against
the dollar, even after the central bank lifted its official yuan
midpoint to the highest level in over four months on Monday.
On the brighter side, data earlier in the day showed China's
industrial and retail sectors beat expectations in November, as
government support propped up demand in the world's
second-largest economy. The South Korean won KRW=KFTC was flat, while the
Singapore dollar was marginally lower. The Indian rupee INR=
weakened 0.2%.
The Indonesian rupiah IDR= also slipped 0.1%, after data
showed Southeast Asia's largest economy posted its biggest trade
deficit in seven months. MARKET INFLOWS BOOST TAIWAN DOLLAR
The Taiwan dollar TWD=TP was the sole outlier in the day,
appreciating 0.4% against the greenback to its strongest level
in over a month on the back of higher equity market inflows.
Foreign investors purchased $729.4 million worth of Taiwan
equities so far this month, compared with outflows of $318
million in November, according to Refinitiv data.
Taiwan's economy has largely benefited from manufacturers
moving production back home to avoid higher tariffs and reduce
business disruption. Investors will now focus on Taiwan's central bank policy
rate decision on Thursday, with analysts at DBS Bank expecting
the central bank to stand pat amid little pressure to cut rates
to support growth.
CURRENCIES VS U.S. DOLLAR
Change on the day at 0602 GMT
Currency Latest bid Previous day Pct Move
Japan yen 109.370 109.36 -0.01
Sing dlr 1.355 1.3536 -0.13
Taiwan dlr 30.200 30.317 +0.39
Korean won 1171.700 1171.7 +0.00
Baht 30.200 30.2 +0.00
Peso 50.620 50.6 -0.04
Rupiah 14000.000 13980 -0.14
Rupee 70.970 70.81 -0.23
Ringgit 4.138 4.1335 -0.11
Yuan 6.998 7.0020 +0.06
Change so far in 2019
Currency Latest bid End 2018 Pct Move
Japan yen 109.370 109.56 +0.17
Sing dlr 1.355 1.3627 +0.54
Taiwan dlr 30.200 30.733 +1.76
Korean won 1171.700 1115.70 -4.78
Baht 30.200 32.55 +7.78
Peso 50.620 52.47 +3.65
Rupiah 14000.000 14375 +2.68
Rupee 70.970 69.77 -1.69
Ringgit 4.138 4.1300 -0.19
Yuan 6.998 6.8730 -1.78