* Thai baht leads intraday gains
* Rupee stronger ahead of India's inflation data
(Adds text, updates prices)
By Ambar Warrick
June 12 (Reuters) - Asian currencies traded narrowly on
Wednesday, with the Thai baht and Indian rupee firming as
investors looked to data that could raise prospects of an early
cut in U.S. interest rates.
Economic indicators in the United States have been a point
of focus for emerging markets, given that sustained weakness in
the economy could prompt immediate action from the Federal
Reserve and drive money to regional currencies.
Sino-U.S. trade tensions, meanwhile, kept markets cautious
as U.S. President Donald Trump hardened his stance on trade
talks with China.
Trump said on Tuesday he was holding up a trade deal with
China and had no interest in moving ahead unless Beijing agrees
again to four or five "major points", be he did not specify.
"Expect investors to remain antsy with U.S. Commerce
Secretary expecting no major breakthrough deals, while official
rhetoric from China continues to harden," OCBC's Emmanuel Ng
said in a note.
The Thai baht THB=TH led gains for the day, rising about
0.15% to the dollar. The currency has outperformed its peers
this year, gaining about 4.2% so far.
While Thailand's strong economic fundamentals, such as a
robust current account surplus, have bolstered the baht,
headwinds from global trade are expected to weigh. This has
already become apparent with a steady decline in its surplus
this year.
The Indian rupee INR=IN rose about 0.06% to the dollar.
The currency has benefited from a recent drop in oil prices, as
India imports a vast majority of its crude requirements.
Retail inflation in the country is expected to have
accelerated in May, according to a Reuters poll, but will likely
remain below the Reserve Bank of India's target, providing it
with more room to ease policy after shifting to an accommodative
stance last week. The official reading is expected later in the
day. Indian industrial output data for April is also due later in
the day.
Elsewhere, the Chinese yuan CNY=CFXS edged about 0.07%
lower against the dollar. It gained on Tuesday following the
central bank's plans to issue bills in Hong Kong later in June
that analysts believed were aimed at preventing the currency
from declining further.
The Philippine peso PHP= saw limited trade with markets
closed for a public holiday.
The following table shows rates for Asian currencies against
the dollar on Wednesday.
CURRENCIES VS U.S. DOLLAR
Change on the day at 0421 GMT
Currency Latest bid Previous day Pct Move
Japan yen 108.450 108.5 +0.05
Sing dlr 1.364 1.3635 -0.06
Taiwan dlr 31.415 31.436 +0.07
Korean won 1181.600 1180.4 -0.10
Baht 31.243 31.29 +0.15
Rupiah 14235.000 14235 +0.00
Rupee 69.400 69.44 +0.06
Ringgit 4.162 4.161 -0.02
Yuan 6.916 6.9112 -0.07
Change so far in 2019
Currency Latest bid End 2018 Pct Move
Japan yen 108.450 109.56 +1.02
Sing dlr 1.364 1.3627 -0.12
Taiwan dlr 31.415 30.733 -2.17
Korean won 1181.600 1115.70 -5.58
Baht 31.243 32.55 +4.19
Rupiah 14235.000 14375 +0.98
Rupee 69.400 69.77 +0.53
Ringgit 4.162 4.1300 -0.77
Yuan 6.916 6.8730 -0.62