* Indonesian rupiah hits weakest level since Nov 2018
* South Korean won plumbs lowest point in 3 years
* Indian rupee, Thai baht lose 0.7% each
(Adds text, updates prices)
March 16 (Reuters) - Most Asian currencies declined on
Monday despite a surprise U.S. rate cut, with the Indonesian
rupiah sinking to a more than one-year low as investors shunned
risk assets due to fears for the global economy cast by the
coronavirus pandemic.
Aiming to boost dollar liquidity, which has dried up to
investors favouring the dollar during the worldwide health
scare, the U.S. Federal Reserve cut interest rates to near-zero
levels on Sunday, having already cut its policy rate by half
percentage point earlier this month.
Five other major central banks also cut pricing on their
swap lines to ease the supply of dollars.
However, U.S. stock futures slipped and Asian shares
followed suit on Monday, as the mounting death toll outside of
China led to more countries moving into lockdown mode to prevent
the virus spreading.
"Market reactions to each surprise monetary policy easing
have been sell first and ask questions later," said OCBC Bank
analysts in a note.
"The more unprecedented measures by the Fed and other
central banks, the more investors worry if the Fed know
something we don't."
The rupiah IDR=ID weakened about 1.4% to 14,950 against
the dollar, its worst level since November 2018. The rupiah was
set to post losses for a third consecutive session.
The Korean won KRW=KFTC slipped 0.6% to its weakest level
since March 2016 and was the worst performing regional currency
so far this year.
The won has been dragged down by severity of the virus
outbreak in South Korea and fears that its export-reliant
economy will be hit hard by the epidemic's impact on global
demand.
The Indian rupee INR=IN and the Thai baht THB=TH
declined as much as 0.7% each during the session, while the
Philippine peso PHP= weakened 0.6%.
The Malaysian ringgit MYR=MY lost as much as 0.6% to hit
its weakest level since August 2017, while the Singapore dollar
SGD= lost up to 0.5%, and struck its weakest level since
February 2017.
Meanwhile, the yuan CNY=CFXS strengthened against the
dollar as China's central bank kept the borrowing cost on its
medium term loans steady after the Fed's surprise move.
The People's Bank of China stood pat on rates for its
one-year medium-term lending facility loans CNMLF1YRRP=PBOC .
CNY/
The yuan strengthened as much as 0.3%, gaining for a second
consecutive session.
The Taiwan dollar TWD=TD also logged in gains,
appreciating 0.1%.
CURRENCIES VS U.S. DOLLAR
Change on the day at 0723
GMT
Currency Latest Previous Pct Move
bid day
Japan yen 106.430 107.91 +1.39
Sing dlr 1.422 1.4147 -0.50
Taiwan dlr 30.162 30.210 +0.16
Korean won 1226.000 1219.3 -0.55
Baht 32.005 31.82 -0.58
Peso 51.265 51.02 -0.48
Rupiah 14950.000 14740 -1.40
Rupee 74.233 73.74 -0.66
Ringgit 4.301 4.277 -0.56
Yuan 7.006 7.0088 +0.05
Change so far in 2020
Currency Latest End 2019 Pct Move
bid
Japan yen 106.430 108.61 +2.05
Sing dlr 1.422 1.3444 -5.44
Taiwan dlr 30.162 30.106 -0.19
Korean won 1226.000 1156.40 -5.68
Baht 32.005 29.91 -6.55
Peso 51.265 50.65 -1.20
Rupiah 14950.000 13880 -7.16
Rupee 74.233 71.38 -3.84
Ringgit 4.301 4.0890 -4.93
Yuan 7.006 6.9632 -0.60