* Malaysia adds $2.3 bln to stimulus package
* Philippine cenbank says has room to ease policy
* Peso down after 3 sessions of gains
(Adds text, updates prices)
By Anushka Trivedi
April 7 (Reuters) - Most Asian currencies firmed against the
dollar on Tuesday as risk appetite improved on signs of a
slowdown in the new coronavirus-related deaths and cases in some
U.S. and European hot spots.
Helping sentiment further, some Asian countries unveiled
more stimulus to help their economies weather the hit from the
pandemic.
Analysts cautioned against the rebound, with Maybank saying:
"The upsides to risk-on moves may still be capped at some point,
given that the eventual economic impact of the crisis is still
expected to be massive even if contagion curves are successfully
flattened."
Singapore announced a third relief package to aid
individuals and corporates, and Malaysia added $2.30 billion to
its stimulus, while the Bank of Thailand is set to lay out steps
to mitigate the epidemic's impact later in the day. The Singapore dollar SGD= , the Malaysian ringgit MYR=MY
and the Thai baht THB=TH were up between 0.2% and 0.6%.
Meanwhile, Japan's prime minister prepared to declare a
state of emergency for one month and announce a massive $1
trillion stimulus package, sending the yen JPY= higher.
The Chinese yuan CNY=CFXS rose 0.3% to a 1-1/2-week high,
bolstered by expectations of more government support and a drop
new virus cases. "For the forward-looking market, it appears that the
attention had shifted towards the recovery stage from COVID-19
with these green shoots seen," Jingyi Pan, a market strategist
at IG, said in a note.
Investors reloaded on risk assets as regional and global
equities advanced, the U.S. dollar weakened .DXY and the
benchmark 10-year Treasury yields rose US10YT=RR .
The Indonesian rupiah IDR=ID and the South Korean won
KRW=KFTC added 0.6% and 0.5%, respectively.
Coming off a holiday, the Indian rupee INR=IN climbed 0.5%
in its best intraday gain in nearly two weeks.
PHILIPPINE PESO
The Philippine peso PHP= dipped 0.3% after three
consecutive sessions of gains.
Data released earlier showed a slowdown in March's annual
inflation rate, and the central bank governor said the trend was
expected to continue, providing the Bangko Sentral ng Pilipinas
with more room to ease policy further. ING economists said the partial lockdown of the country
should knock down their growth forecasts further as "73% of
economic activity is quarantined and forced to stay at home."
The lockdown, originally scheduled to end on April 14, would
be extended until April 30, a crisis panel official said.
The following table shows rates for Asian currencies against
the dollar at 0540 GMT.
CURRENCIES VS U.S. DOLLAR
Currency Latest bid Previous day Pct Move
Japan yen 108.780 109.2 +0.39
Sing dlr 1.430 1.4322 +0.19
Taiwan dlr 30.165 30.231 +0.22
Korean won 1223.800 1229.3 +0.45
Baht 32.780 32.96 +0.55
Peso 50.730 50.56 -0.34
Rupiah 16400.000 16500 +0.61
Rupee 75.830 76.22 +0.51
Ringgit 4.345 4.361 +0.37
Yuan 7.075 7.0938 +0.27
Change so far in 2019
Currency Latest bid End 2018 Pct Move
Japan yen 108.780 109.56 +0.72
Sing dlr 1.430 1.3627 -4.67
Taiwan dlr 30.165 30.733 +1.88
Korean won 1223.800 1115.70 -8.83
Baht 32.780 32.55 -0.70
Peso 50.730 52.47 +3.43
Rupiah 16400.000 14375 -12.35
Rupee 75.830 69.77 -7.99
Ringgit 4.345 4.1300 -4.95
Yuan 7.075 6.8730 -2.86
($1 = 4.3450 ringgit)