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EM ASIA FX-Most Asian units firm; Thai baht hits over 6-year high

Published 10/09/2019, 02:31 PM
Updated 10/09/2019, 02:40 PM
EM ASIA FX-Most Asian units firm; Thai baht hits over 6-year high
USD/SGD
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USD/MYR
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USD/PHP
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* Thai baht firms to strongest level since June 2013
* Philippine c.bank may not cut rates further this year
* High-level Sino-U.S. trade talks awaited

(Adds text, updates prices)
By Shreya Mariam Job
Oct 9 (Reuters) - Most Asian currencies edged higher against
the dollar on Wednesday, with the Thai baht hitting a more than
six-year peak, as investors held their ground amid a fresh
escalation in Sino-U.S. tensions ahead of high-level trade
talks.
Relations between the world's two biggest economies worsened
after the U.S. government widened its trade blacklist to include
some of China's top artificial intelligence startups, which drew
a sharp rebuke from Beijing. Such altercations just days ahead of the high-level talks
dampened hopes of a deal to be struck at the negotiation.
"Expectations for the high-level trade talks are very low.
Thus, any news that suggests a further deterioration in the
U.S.- China relationship has been broadly priced in," said
Eugenia Fabon Victorino, head of Asia strategy at Skandinaviska
Enskilda Banken.
The Chinese yuan CNY=CFXS opened slightly weaker before
firming 0.1%, while the Singapore dollar SGD= and the Taiwan
dollar TWD=TP remained largely unchanged.
Meanwhile, the Indonesian rupiah IDR=ID slipped 0.2%,
while the Indian rupee INR=IN and the Malaysian ringgit MYR=
weakened marginally.
South Korean financial markets were closed for a holiday.

THAI BAHT
The baht THB=TH strengthened 0.3% against the dollar to
its strongest since June 2013, with traders shrugging off the
central bank's worries about the currency's strength.
The baht has been the strongest performer among Asian units
this year, driven by the country's hefty current account surplus
and fund inflows. It has also shown a resilience to global
volatility over the U.S.-China trade spat.

PHILIPPINE PESO
The peso PHP= firmed 0.3% after the central bank governor
indicated that last month's rate cut may be the last for the
year.
However, Governor Benjamin Diokno said the central bank will
deliver more cuts in the reserve requirement ratio (RRR) should
the inflation outlook continue to improve.
Inflation eased in September to the lowest in more than
three years, putting this year's inflation target within reach.

CURRENCIES VS U.S. DOLLAR
Change on the day at 0601 GMT
Currency Latest bid Previous day Pct Move
Japan yen 107.170 107.07 -0.09
Sing dlr 1.382 1.3824 +0.04
Taiwan dlr 30.847 30.842 -0.02
Baht 30.330 30.41 +0.26
Peso 51.750 51.91 +0.31
Rupiah 14175.000 14150 -0.18
Rupee 71.110 71.02 -0.13
Ringgit 4.196 4.192 -0.10
Yuan 7.142 7.1465 +0.07

Change so far in 2019
Currency Latest bid End 2018 Pct Move
Japan yen 107.170 109.56 +2.23
Sing dlr 1.382 1.3627 -1.38
Taiwan dlr 30.847 30.733 -0.37
Korean won 1193.100 1115.70 -6.49
Baht 30.330 32.55 +7.32
Peso 51.750 52.47 +1.39
Rupiah 14175.000 14375 +1.41
Rupee 71.110 69.77 -1.88
Ringgit 4.196 4.1300 -1.57
Yuan 7.142 6.8730 -3.76

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