* Graphic: World FX rates http://tmsnrt.rs/2egbfVh
* Asian stocks https://tmsnrt.rs/3f2vwbA
* Malaysia's c.bank keeps rates steady at 1.75%
* Indonesian stocks gain the most
* Asian currencies firm as dollar index slips
By Shriya Ramakrishnan
Jan 20 (Reuters) - Asian currencies rose on Wednesday as the
dollar came under pressure after U.S. Treasury Secretary nominee
Janet Yellen stressed on more stimulus, while Malaysia's ringgit
and shares held steady as its central bank stood pat on interest
rates.
Regional currencies strengthened as the dollar backed away
from a one-month high, with the South Korean won KRW=KFTC ,
Singapore dollar SGD= and Thai baht THB=TH trading around
0.2% higher against the greenback.
In Malaysia, the ringgit MYR= traded at 4.042 per dollar,
in line with levels seen in morning trade, after the country's
central bank kept its overnight policy rate at a record low of
1.75%.
Five out of 15 economists in a Reuters poll had expected the
move, but a majority had expected Bank Negara Malaysia (BNM) to
cut rates to support an economy facing fresh lockdowns amid
surging coronavirus cases. Stocks in Kuala Lumpur .KLSE crept up, helped by strength
in the financial sector after BNM said it will extend the
duration of flexibility for banking institutions to use
government bonds to meet their statutory reserve needs.
"The decision was largely backed by confidence that the
impact of recent lockdown measures would be manageable, and
growth trajectory would turn up from second quarter onwards,"
said Duncan Tan, an interest rates strategist at DBS Bank.
"BNM's projections for growth to bottom by second quarter
could be sooner than some expect, which could drive MYR strength
over the next couple of days."
Indonesian stocks .JKSE were the top gainers in regional
equity markets, while the rupiah IDR= also ticked up 0.2%
ahead of its own central bank meeting on Thursday.
Bank Indonesia will likely keep interest rates steady at
3.75%, a Reuters poll showed, with analysts pointing to the
central bank facing the need to keep rate differentials
attractive for foreign investors after a recent rise in U.S.
bond yields. Asian currencies and bonds have lagged as the prospect of
more government spending under a Joe Biden administration pushed
up U.S. treasury yields earlier this month, reducing the appeal
of some of the region's high-yielding government debt.
Philippine shares .PSI pared some losses by afternoon
trade, but ended lower for a fourth consecutive day, while
stocks in Thailand .SETI dipped.
HIGHLIGHTS:
** Malaysia's 10-year benchmark yield is up 2 basis points
at 2.66%
** Top gainers on the Jakarta stock index .JKSE include
Capitol Nusantara Indonesia Tbk PT CANI.JK up 34.21% at 204
rupiah, Indonesia Kendaraan Terminal Tbk PT IPCC.JK up 25%
at 675 rupiah
** Top gainers on FTSE Bursa Malaysia Kl Index .KLSE
include Public Bank Bhd PUBM.KL up 2.58% at 21.44 ringgit,
CIMB Group Holdings Bhd CIMB.KL up 1.75% at 4.07 ringgit
Asia stock indexes and
currencies at 0820 GMT
COUNTRY FX RIC FX FX INDEX STOCKS STOCKS
DAILY % YTD % DAILY YTD %
%
Japan JPY= +0.12 -0.51 .N225 -0.38 3.93
China
India INR=IN +0.10 -0.03 .NSEI 0.62 4.50
Indonesi IDR= +0.21 +0.14 .JKSE 1.71 7.54
a
Malaysia MYR= +0.15 -0.54 .KLSE 0.61 -0.96
Philippi PHP= +0.04 -0.06 .PSI -0.77 0.05
nes
S.Korea
Singapor SGD= +0.23 -0.36 .STI -0.05 5.29
e
Taiwan TWD=TP +0.20 +0.24 .TWII -0.45 7.29
Thailand THB=TH +0.23 +0.03 .SETI -0.16 4.88