EM ASIA FX-Less dovish Fed weighs on Asia FX, but region to see monthly gains

* Rupiah falls 1 pct on weaker stocks, bonds

* Won firmer after U.S. Treasury report

* S.Korea still suspected of intervening

(Adds text, updates prices.)

By Jongwoo Cheon

SINGAPORE, Oct 31 (Reuters) - Most emerging Asian currencies

fell on Thursday as the Federal Reserve's steady stance

disappointed some expectations of more dovish comments,

prompting investors to book profits from monthly gains in

regional units.

The Indonesian rupiah and the Philippine peso

led the daily depreciation. Malaysia's ringgit also

slid as investors cut bullish bets on the best performing

emerging Asian currency in October.

The South Korean won, however, edged higher after

a U.S. Treasury report urged Asia's fourth-largest economy to

refrain from targeting exchange rate.

The Fed on Wednesday decided to keep buying $85 billion in

assets a month and sounded only slightly less optimistic about

growth. However, it dropped a phrase expressing concern about a

run-up in borrowing costs, suggesting it was comfortable with

interest rates at their current level.

Traders of rate futures kept bets in place that the U.S.

central bank will wait to raise rates until at least April 2015.

Emerging Asian currencies are unlikely to extend gains in

November as expectations of steady U.S. monetary policy have

been widely priced in, traders and analysts said.

"Asian currencies may lose appreciation momentum. They have

reflected the Fed's policy, but they have not priced in possible

rebound in the U.S. economy," said Yuna Park, a currency and

bond analyst at Dongbu Securities in Seoul.

"It may be better to reduce Asia FX positions on rallies

rather than to add more. Some Asian stocks are seen overbought,"

Park added.

In October, emerging Asian currencies are poised to see

monthly gains.

The ringgit has risen 3.2 percent against the dollar, which

would be the largest monthly gain since January 2012, according

to Thomson Reuters data. Investors welcomed the government's

plans to tackle a fiscal deficit including a new consumption


The rupiah has advanced 2.6 percent on capital inflows.

Indonesia was seen one of the most vulnerable to the Fed's

possible cut in the bond-buying programme due to the country's

current account deficit.

The Indian rupee has gained 2.0 percent, while both

the Singapore dollar and the won have been

up 1.4 percent.

The Philippine peso has risen 0.6 percent.


The rupiah fell as bond yields extended rises and stocks

underperformed most of regional peers.

The five-year bond yield rose to 6.883 percent

from the previous day's 6.748 percent, while three-year yield

advanced to 6.742 percent from 6.645 percent.

Month-end dollar demand also put pressure on the rupiah,

traders said.

"The rupiah is still vulnerable," said a Jakarta-based

trader, adding the trader has already built up short positions

in the rupiah around 11,000 to the dollar.

Investors are awaiting September trade and October inflation

data due on Friday. The country's trade balance is expected to

have swung into deficit in September, while inflation in October

may have ticked up, a Reuters poll showed.

Another currency trader in Jakarta said some investors may

look for chances to buy the rupiah on dips due to some hopes

that those economic indicators may be better than expected.


The peso fell 0.4 percent to 43.29 per dollar, its weakest

since Oct. 10, as interbank speculators covered dollar-short

positions before a long weekend.

The Philippine financial markets will be closed on Friday

for a holiday.

Local bond yields also rose, putting pressure on the peso.


The won edged up on exporters' month-end demand and after a

U.S. Treasury report urged South Korea to refrain from targeting

the exchange rate and only resort to intervention under

"exceptional circumstances."

Morgan Stanley said it prefers the won on the possibility of

increased political pressure.

"We remain short (dollar/won), looking for an eventual break

of the post-Lehman low of 1,048 to open the way for a move

towards 1,000," Morgan Stanley said in a client note.

The won's upside, however, was limited as South Korea's

foreign exchange authorities were suspected of buying dollar to

stem its appreciation, traders said.

A South Korean foreign exchange official said that the

authorities had no plans to change their exchange rate stance.

Traders hesitated to chase the won around current levels.

"The authorities carried out only smoothing operation," said

a senior foreign bank trader in Seoul, referring to the

authorities' actions to limit volatility.

"Despite exporters' demand, it is difficult for interbank

players to buy the won here."


Change on the day at 0440 GMT

Currency Latest bid Previous day Pct Move

Japan yen 98.41 98.53 +0.12

Sing dlr 1.2390 1.2393 +0.02

Taiwan dlr 29.375 29.475 +0.34

Korean won 1059.55 1060.20 +0.06

Baht 31.08 31.06 -0.06

Peso 43.27 43.10 -0.38

Rupiah 11280.00 11165.00 -1.02

Rupee 61.35 61.24 -0.18

Ringgit 3.1565 3.1485 -0.25

Yuan 6.0950 6.0938 -0.02

Change so far in 2013

Currency Latest bid End prev year Pct Move

Japan yen 98.41 86.79 -11.81

Sing dlr 1.2390 1.2219 -1.38

Taiwan dlr 29.375 29.136 -0.81

Korean won 1059.55 1070.60 +1.04

Baht 31.08 30.61 -1.51

Peso 43.27 41.05 -5.12

Rupiah 11280.00 9630.00 -14.63

Rupee 61.35 54.99 -10.36

Ringgit 3.1565 3.0580 -3.12

Yuan 6.0950 6.2303 +2.22

(Additional reporting by IFR Markets' Catherine Tan; Editing by

Kim Coghill)

  • For some low-income workers, retirement is only a dream
    Associated Press

    For some low-income workers, retirement is only a dream

    The photo and his story went viral and thousands of people donated more than $384,000 for his retirement. With no money saved for retirement, home care worker Gwen Strowbridge, 71, of Deerfield, Florida, plans to stay on the job until she can't physically work anymore. Studies have found that about one-third of low wage workers like Strawbridge say they'll never be able to afford retirement.

  • Best Vanguard Funds for Your Retirement Savings

    Best Vanguard Funds for Your Retirement Savings

    Vanguard is the biggest fund company in the land, with more than $3 trillion in assets. So chances are high that many retirement savers have access to Vanguard funds in their 401(k) plans. But size is no guarantee of good results. Thirty-four Vanguard funds appear on a list of the 105 most popular mutual funds in employer-sponsored retirement savings plans. No other fund company comes close. Not surprisingly, of the 34 most popular Vanguard funds in retirement plans, 15 are index funds. And nine more are target-date portfolios—those set-it-and-forget-it funds that shift over time to more conservative allocations as the fund nears its target year. The remaining 10 are actively managed. We didn’t

  • Blighted lives: The true cost of diabetes
    BBC News

    Blighted lives: The true cost of diabetes

    Steven Woodman walks like an old man. He needs a stick to maintain his balance as he hobbles forward. Steven is only in his late 50s, but the loss of three toes on one foot means he's unsteady on his feet. It is type 2 diabetes that has led Steven to where he is now. More accurately, it's ignoring the warnings and advice around diabetes that has left him facing a life of disability. He was diagnosed with type 2 diabetes, closely linked to lifestyle and weight gain, when he was still a young man. Steven, who lives in Shrewsbury, freely admits that, at the time, he ignored his GP's advice. "I was in denial. I never took it that seriously, so I carried on eating, going to the pub - doing things

    Bloomberg Video

    6th Party Plenum: What Is China's Agenda?

    Oct. 24 -- Liu Li-Gang, chief China economist at Citigroup, discusses China's 6th party plenum in Beijing and what could come out of it. He speaks to Bloomberg's Stephen Engle and Rishaad Salamat on "Bloomberg Markets."

  • Oil down as Iraq says no cuts; Wall Street, Cushing draw limit loss

    Oil down as Iraq says no cuts; Wall Street, Cushing draw limit loss

    Oil prices fell on Monday after Iraq said it wanted to be exempt from an OPEC production cut, though prices drew some support from a rally in Wall Street shares and a draw in crude inventories at the U.S. storage hub of Cushing, Oklahoma. The Organization of the Petroleum Exporting Countries (OPEC) announced plans last month to cut output to boost prices, but has not yet given details on how it will reach the target. Iraqi oil minister Jabar Ali al-Luaibi said on Sunday the country, second largest producer in OPEC, wanted to be exempt from output curbs as it needed more money to fight Islamic State militants.

  • Trump Surrogates Continue Their Apologist Tour to Election Day
    The Fiscal Times

    Trump Surrogates Continue Their Apologist Tour to Election Day

    It’s a thankless job being a Donald Trump surrogate these days. The job fell to campaign manager Kellyanne Conway and Republican National Committee Chairman Reince Priebus this weekend, and both twisted themselves in verbal knots casting the Trump campaign as something other than a foundering ship that’s headed to the bottom. After promising to deliver a “closing argument” in a speech on Saturday in Gettysburg, PA, Trump instead dedicated part of his remarks to promising to sue each of the dozen or so women who have accused him of sexual assault.

  • Coke and Pepsi are finally ditching sugar
    Business Insider

    Coke and Pepsi are finally ditching sugar

    This past week we learned that PepsiCo is finally turning against sugar. On Monday, PepsiCo announced that by 2025, two thirds of its drinks will have 100 calories or fewer from added sugar, per 12 oz serving. Currently, these types of sugary beverages make up 40% of PepsiCo's drinks.

  • America's biggest banks are closing hundreds of branches
    Business Insider

    America's biggest banks are closing hundreds of branches

    According to the 3Q earnings report, the bank has 21 million mobile banking active users and 18% of deposit transactions are completed through mobile devices. "That’s better for customers, it’s also better for our shareholders," said Donofrio.

  • Former Walmart.com CEO explains how to nurture star employees
    Yahoo Finance

    Former Walmart.com CEO explains how to nurture star employees

    High-potential performers (or Hi-Pos) stand out due to their associative thinking skills—which help solve problems and drive innovation—their strong emotional awareness, and their incredible perseverance, according to Carter Cast, a clinical professor of innovation and entrepreneurship at the Kellogg School and former CEO of Walmart.com, a division of Walmart (WMT). Putting a mirror up in front of people can help them recognize weaknesses, triggers, and gaps that may be impeding self-regulation and performance.

  • 3 Great Dividend Stocks That Could Double Their Payments -- The Motley Fool
    The Motley Fool

    3 Great Dividend Stocks That Could Double Their Payments -- The Motley Fool

    According to the latest economic data, average household income is down 2.4% from its peak in 1999. That implies that most Americans have not gotten a real raise in years. That said, while employers are stingy to their employees, companies are pretty generous to their investors. In fact, the following three companies are likely to double the income streams they pay investors over the next few years. A pipeline of income growth One of the reasons why refining giant Phillips 66 (NYSE:PSX) launched its midstream MLP Phillips 66 Partners (NYSE:PSXP) was to give investors an opportunity to collect a rapidly growing cash flow stream. That is why, when the MLP went public in late 2013, it stated that

  • Jeff Bezos, Jamie Dimon, Warren Buffett agree on the No. 1 priority for business
    Yahoo Finance

    Jeff Bezos, Jamie Dimon, Warren Buffett agree on the No. 1 priority for business

    In recent weeks, we’ve heard Warren Buffett, Jamie Dimon and Jeff Bezos talk about managing their businesses. At the Economic Club of Washington DC in September, JPMorgan CEO Jamie Dimon discussed what eventually led to his ouster from Citigroup in 1998. JPMorgan Chase is the largest bank in America.

  • 527 South Koreans seek Note 7 payback from Samsung
    Associated Press

    527 South Koreans seek Note 7 payback from Samsung

    Hundreds of South Korean Galaxy Note 7 smartphone owners filed a lawsuit against Samsung Electronics on Monday over its handling of the fire-prone device. Attorney Peter Young-Yeel Ko, head of the Harvest Law Firm, said the 527 plaintiffs want Samsung to compensate them for the costs to visit shops to exchange their phones, for the hours they had to wait while transferring data and for psychological harm from using a hazardous product. The Galaxy Note 7 smartphone was recalled twice in an unprecedented consumer safety crisis.

  • World
    WSJ Live

    Islamic State Burns Sulfur Stocks Near Mosul

    On Saturday a plume of noxious smoke drifted over a base with U.S. troops involved in the Iraqi offensive to retake the city of Mosul. Islamic State militants had set fire to sulfur stocks at a factory south of Mosul on Thursday. Photo: Reuters

  • Business
    Money Talks News

    9 Tips to Ensure You’ll Have Enough to Retire

    Life expectancy for women and men in 1970 was just short of 71 years, for example, so retirement funds did not have to see most people to age 90 or 100. Today, those of us approaching retirement are playing a very new game. Will Social Security be your primary source of income in retirement?

  • Japan swings back to September trade surplus

    Japan swings back to September trade surplus

    Japan swung to a bigger-than-expected trade surplus in September, as tumbling imports offset lacklustre shipments overseas, official data showed Monday. The value of Japan's exports fell again, with vehicles and steel among the worst hit sectors, as a stronger yen clouds the country's trade picture. It also reversed a surprise trade deficit in August.

  • AT&T, Time Warner CEOs say mega-merger is all about speed and mobility

    AT&T, Time Warner CEOs say mega-merger is all about speed and mobility

    The companies do not compete anywhere, Stephenson said, adding mergers of this nature usually get done by making concessions to regulators. Stephenson said content and distribution are converging, and he argued that this deal is a natural evolution of the industry. Any innovation will be available to the entire marketplace, Stephenson added.

  • Chesapeake Energy Analysts Change Their Tune

    Chesapeake Energy Analysts Change Their Tune

    On Wednesday evening, Chesapeake Energy Corp. (NYSE: CHK) stock closed at $6.72. Shares dropped by more than 5% to $6.36 early Thursday morning as the company kicked off its first investor day presentation in two years. The downturn was very likely the result of the company’s forecast for 2016 and 2017. Production growth is estimated at flat to up 3% for 2016 and at down 5% to flat for 2017. And that comes at the cost of higher capital spending. We looked at Chesapeake’s presentation in some detail on Thursday. By the end of the day Thursday, Chesapeake stock had regained all its lost ground and added 2.8% besides to close at $6.91. But by the early afternoon Friday, shares traded down about

  • The $1.7 Trillion Oil Industry Isn’t Going Anywhere

    The $1.7 Trillion Oil Industry Isn’t Going Anywhere

    This week’s oil prices put the industry at a value of $1.7 trillion – almost three times larger than the $660 billion in revenues generated from all major raw metals and minerals combined. Figures compiled by the Visual Capitalist show that the sheer magnitude of international oil consumption will increase as countries leave coal behind and plan for the spread of natural gas and green energy. Oil producers extract 34 billion barrels of oil from the planet every year to provide the 94 million bpd the planet consumes to travel, build and illuminate.

  • What to expect from Apple’s fourth-quarter earnings tomorrow

    What to expect from Apple’s fourth-quarter earnings tomorrow

    It’s going to be a busy week for Apple. Tomorrow (Oct. 25), the company will announce its fourth-quarter earnings for its fiscal year. Two days later, it’ll host an event to show off what many expect to be a refresh to its laptop and desktop computer lines. While the company may be ramping up for a big holiday season, with hopes of selling truckloads of its new iPhones and computers, tomorrow’s earnings call will reveal how sales fared over what has traditionally been Apple’s slowest period. In recent quarters, Apple has reported its first quarterly declines since it started selling the iPhone nearly a decade ago. Whether the company was able to reverse that decline in the fourth quarter—which

  • Business

    In insurance, Big Data could lower rates for optimistic tweeters

    This could lead to future insurance cover based on "sentiment analysis", in which Big Data and artificial intelligence make predictive models ever more accurate. Swiss Re says technological advances will cut the price of insurance protection and help individuals and firms make better decisions through programmes that offer advice and incentivise improvements in areas such as health and driving. Social media monitoring is one of several advances insurers are examining to improve the pricing of policies.

  • Oil prices fall as Iraq resists joining output cut

    Oil prices fall as Iraq resists joining output cut

    Oil prices fell on Monday as Iraq said it wanted to be exempt from an OPEC deal to cut production, though losses were capped by Iran saying it would encourage other members to join an output freeze. U.S. West Texas Intermediate (WTI) crude was down 37 cents at $50.48. Falah al-Amiri, head of Iraqi state oil marketer SOMO, added that Iraq's market share had been compromised by the wars it has fought since the 1980s.

  • Business

    Australia's largest private trade delegation to visit China

    Australia's largest ever private trade delegation is due to arrive in China on Sunday, just over a week after 18 employees from Australian gaming giant Crown Resorts Ltd were detained there for alleged gambling crimes. More than 200 delegates, including Queensland state ministers, agricultural producers and exporters will be on the visit to Shanghai aimed at building on the A$160 billion ($120 billion) trade relationship between Australia and China. "We have brought together businesses from banks to exporters and freight companies," Ben Lyons, the group's leader, said in a statement.

  • Dominos CEO: We got ahead of the curve in technology
    Yahoo Finance

    Dominos CEO: We got ahead of the curve in technology

    Other than the company’s new recipe rolled out in 2010, in one word: technology. “We got into it early,” said CEO Patrick Doyle. Doyle said a big part of the company’s success is “early investment.” And he added the company hasn’t stopped.

  • Technology
    Associated Press

    Attacks on the internet keep getting bigger and nastier

    Manchester, New Hampshire-based Dyn Inc. said its server infrastructure was hit by distributed denial-of-service, or DDoS, attacks. The attack temporarily blocked some access to popular websites from across America and Europe such as Twitter, Netflix and PayPal. Members of a shadowy hacker group that calls itself New World Hackers claimed responsibility for the attack via Twitter, though that claim could not be verified.

  • GM

    GM to add SUV production line at China JV in 2017: Xinhua

    General Motors Co plans to launch a new SUV production line at its joint venture factory in the Chinese central city of Wuhan during the first half of 2017, the official Xinhua News Agency reported on Sunday, citing company sources. SAIC General Motors (SGM), a joint venture between China's SAIC and General Motors, started operations at the Wuhan plant last year. The new production line will be able to produce 360,000 vehicles a year, bringing the combined capacity to 600,000, Xinhua said.