Post by Admin on Aug 6, 2013 13:22:03 GMT 8
06-08-2013 12:11:26
EM ASIA FX-Sing dollar, ringgit tad higher on short-covering
* Leveraged funds buy Singapore dollar
* Malaysian bond yields lower
* Won gives up early gains on intervention caution
(Adds text, updates prices)
By Jongwoo Cheon
SINGAPORE, Aug 6 (Reuters) - The Singapore dollar and the
Malaysian ringgit edged up on Tuesday as investors further
reduced bearish bets on weakened views that the Federal Reserve
may start scaling back its stimulus, while most emerging Asian
currencies barely changed.
The Indian rupee weakened to within touch of a
record low, pressuring bonds, although caution over potential
intervention to support the currency limited its downside.
[ID:nL4N0G70NH]
The Singapore dollar advanced on demand from
leveraged funds. The ringgit gained as Malaysian
government bond yields fell.
The U.S. dollar slid further as data showed on Friday that
U.S. employers slowed the pace of hiring in July, raising
expectations that the Fed may wait until late this year before
reducing its bond-buying programme.
"If the dollar continues to lose traction globally, Asian
currencies may continue to reclaim lost ground, given also that
the net portfolio inflow environment has continued to improve in
recent sessions," OCBC Bank said in a client note.
Still, emerging Asian currencies' gains were limited as some
traders stayed cautious over the Fed's possible tapering and on
weaker regional stocks.
Dallas Fed President Richard Fisher said on Monday the U.S.
central bank is nearer to dialing back its quantitative easing
after the unemployment rate dropped last month. [ID:nL1N0G60QJ]
Investors were awaiting the Australian central bank's
monetary policy decision later in the day. The Reserve Bank of
Australia is considered almost certain to cut rates a quarter
point to 2.5 percent. [ID:nL4N0G63WC]
SINGAPORE DOLLAR
Leveraged funds lifted the Singapore dollar, but investors
hesitated to push the currency higher than 1.2640 to the U.S.
dollar, traders said.
Based on the charts and technical factors, traders said the
greenback will find a trendline support around the level.
"Everybody is looking to buy the U.S. dollar there," said a
foreign bank trader in Singapore.
For more gains in the Singapore dollar, it needs to
strengthen past the 1.2630-1.2640 level first and clearly breach
1.2600, the trader said.
"But nobody expects that for the time being," he added.
RINGGIT
The ringgit edged up in thin trading as 10-, five- and
three-year bond yields slid.
But foreign funds were waiting to buy dollars around 3.2200,
limiting the ringgit's upside, traders said.
"Since last week's NFP, timing of U.S. tapering is in
doubt," said a senior Malaysian bank trader in Kuala Lumpur,
referring to the July U.S. nonfarm payrolls, which were weaker
than market expectations.
The ringgit is seen still having room to strengthen to
3.2100, but it needs to clear 3.2200, he added.
WON
The won earlier gained on exporters' demand for settlements
and stop-loss dollar selling.
The South Korean currency, however, turned slightly lower on
caution over possible intervention by the foreign exchange
authorities. Traders also stayed wary of the Fed's potential
policy shift.
"The won is unlikely to break the 1,110 level soon. We still
have uncertainties over the U.S.," said a senior foreign bank
trader in Seoul.
CURRENCIES VS U.S. DOLLAR
Change on the day at 0350 GMT
Currency Latest bid Previous day Pct Move
Japan yen 98.00 98.28 +0.29
Sing dlr 1.2664 1.2688 +0.19
Taiwan dlr 29.946 29.950 +0.01
Korean won 1114.55 1113.80 -0.07
Baht 31.37 31.33 -0.13
Peso 43.52 43.47 -0.11
*Rupiah 10280.00 10280.00 +0.00
Rupee 61.11 60.88 -0.38
Ringgit 3.2280 3.2315 +0.11
Yuan 6.1234 6.1247 +0.02
Change so far in 2013
Currency Latest bid End prev year Pct Move
Japan yen 98.00 86.79 -11.44
Sing dlr 1.2664 1.2219 -3.51
Taiwan dlr 29.946 29.136 -2.70
Korean won 1114.55 1070.60 -3.94
Baht 31.37 30.61 -2.42
Peso 43.52 41.05 -5.68
Rupiah 10280.00 9630.00 -6.32
Rupee 61.11 54.99 -10.01
Ringgit 3.2280 3.0580 -5.27
Yuan 6.1234 6.2303 +1.75
* Financial markets in Indonesia are closed this week for
holidays.
(Additional reporting by IFR Markets' Catherine Tan; Editing by
Jacqueline Wong)
((jongwoo.cheon@thomsonreuters.com)(+65 6403 5659)(Reuters
Messaging: jongwoo.cheon.thomsonreuters.com@reuters.net))
EM ASIA FX-Sing dollar, ringgit tad higher on short-covering
* Leveraged funds buy Singapore dollar
* Malaysian bond yields lower
* Won gives up early gains on intervention caution
(Adds text, updates prices)
By Jongwoo Cheon
SINGAPORE, Aug 6 (Reuters) - The Singapore dollar and the
Malaysian ringgit edged up on Tuesday as investors further
reduced bearish bets on weakened views that the Federal Reserve
may start scaling back its stimulus, while most emerging Asian
currencies barely changed.
The Indian rupee weakened to within touch of a
record low, pressuring bonds, although caution over potential
intervention to support the currency limited its downside.
[ID:nL4N0G70NH]
The Singapore dollar advanced on demand from
leveraged funds. The ringgit gained as Malaysian
government bond yields fell.
The U.S. dollar slid further as data showed on Friday that
U.S. employers slowed the pace of hiring in July, raising
expectations that the Fed may wait until late this year before
reducing its bond-buying programme.
"If the dollar continues to lose traction globally, Asian
currencies may continue to reclaim lost ground, given also that
the net portfolio inflow environment has continued to improve in
recent sessions," OCBC Bank said in a client note.
Still, emerging Asian currencies' gains were limited as some
traders stayed cautious over the Fed's possible tapering and on
weaker regional stocks.
Dallas Fed President Richard Fisher said on Monday the U.S.
central bank is nearer to dialing back its quantitative easing
after the unemployment rate dropped last month. [ID:nL1N0G60QJ]
Investors were awaiting the Australian central bank's
monetary policy decision later in the day. The Reserve Bank of
Australia is considered almost certain to cut rates a quarter
point to 2.5 percent. [ID:nL4N0G63WC]
SINGAPORE DOLLAR
Leveraged funds lifted the Singapore dollar, but investors
hesitated to push the currency higher than 1.2640 to the U.S.
dollar, traders said.
Based on the charts and technical factors, traders said the
greenback will find a trendline support around the level.
"Everybody is looking to buy the U.S. dollar there," said a
foreign bank trader in Singapore.
For more gains in the Singapore dollar, it needs to
strengthen past the 1.2630-1.2640 level first and clearly breach
1.2600, the trader said.
"But nobody expects that for the time being," he added.
RINGGIT
The ringgit edged up in thin trading as 10-, five- and
three-year bond yields slid.
But foreign funds were waiting to buy dollars around 3.2200,
limiting the ringgit's upside, traders said.
"Since last week's NFP, timing of U.S. tapering is in
doubt," said a senior Malaysian bank trader in Kuala Lumpur,
referring to the July U.S. nonfarm payrolls, which were weaker
than market expectations.
The ringgit is seen still having room to strengthen to
3.2100, but it needs to clear 3.2200, he added.
WON
The won earlier gained on exporters' demand for settlements
and stop-loss dollar selling.
The South Korean currency, however, turned slightly lower on
caution over possible intervention by the foreign exchange
authorities. Traders also stayed wary of the Fed's potential
policy shift.
"The won is unlikely to break the 1,110 level soon. We still
have uncertainties over the U.S.," said a senior foreign bank
trader in Seoul.
CURRENCIES VS U.S. DOLLAR
Change on the day at 0350 GMT
Currency Latest bid Previous day Pct Move
Japan yen 98.00 98.28 +0.29
Sing dlr 1.2664 1.2688 +0.19
Taiwan dlr 29.946 29.950 +0.01
Korean won 1114.55 1113.80 -0.07
Baht 31.37 31.33 -0.13
Peso 43.52 43.47 -0.11
*Rupiah 10280.00 10280.00 +0.00
Rupee 61.11 60.88 -0.38
Ringgit 3.2280 3.2315 +0.11
Yuan 6.1234 6.1247 +0.02
Change so far in 2013
Currency Latest bid End prev year Pct Move
Japan yen 98.00 86.79 -11.44
Sing dlr 1.2664 1.2219 -3.51
Taiwan dlr 29.946 29.136 -2.70
Korean won 1114.55 1070.60 -3.94
Baht 31.37 30.61 -2.42
Peso 43.52 41.05 -5.68
Rupiah 10280.00 9630.00 -6.32
Rupee 61.11 54.99 -10.01
Ringgit 3.2280 3.0580 -5.27
Yuan 6.1234 6.2303 +1.75
* Financial markets in Indonesia are closed this week for
holidays.
(Additional reporting by IFR Markets' Catherine Tan; Editing by
Jacqueline Wong)
((jongwoo.cheon@thomsonreuters.com)(+65 6403 5659)(Reuters
Messaging: jongwoo.cheon.thomsonreuters.com@reuters.net))