* Rupiah, rupee hit 3-week lows
* Indonesia Sept trade deficit larger than expected
* Most Asia FX to see weekly losses
(Adds text, updates prices)
By Jongwoo Cheon
SINGAPORE, Nov 1 (Reuters) - The Indian rupee and Indonesian
rupiah led slides among emerging Asian currencies on Friday with
regional units heading for weekly losses as solid U.S. data
caused some investors to factor in a less dovish stance for the
China's manufacturing sector grew at the fastest pace in 18
months in October, according to two surveys, helping emerging
Asian currencies recover some of Fridays initial losses.
Still, regional units stayed weaker on uncertainty over when
the Fed will begin tapering its bond-buying programme.
Both the rupiah and the rupee hit
three-week lows as those currencies are seen most vulnerable to
the Fed's tapering due to the current account deficits of those
countries. Earlier, Indonesia reported a larger-than-expected
September trade gap.
The dollar hit a two-week high against a basket of major
currencies after data showing business activity in the U.S.
Midwest rose more than expected in October. Weekly U.S. jobless
claims also fell.
The strong Chicago survey has fuelled speculation the
national ISM survey of manufacturing, due later on Friday, could
also surprise on the upside.
"U.S. ISM data will be released overnight, and while
expected to come in a touch lower, should still indicate a very
solid pace of expansion in the U.S. manufacturing sector,"
Scotiabank said in a client note.
"This could further set up for Asian weakness on Monday as
better U.S. data may play off of the less dovish Fed statement,"
Most emerging Asian currencies were poised to suffer weekly
losses as the Fed's stable stance this week disappointed some
who were expecting more dovish comments from the U.S. central
For the week, the rupiah was down 2.8 percent against the
dollar, which would be its largest weekly fall since late
August, according to Thomson Reuters data.
The Malaysian ringgit has lost 0.8 percent, while
the rupee has fallen 0.6 percent.
The Singapore dollar has eased 0.5 percent and the
Thai baht has shed 0.4 percent.
The Philippine peso, which did not trade in the
local market on Friday due to a holiday, lost 0.4 percent this
The rupiah lost as much as 1.0 percent for the day to 11,380
per dollar, its weakest since Oct. 11, on sustained rises in
government bond yields. Jakarta shares was down 1.1
percent, underperforming regional peers.
The forward onshore market, or Jakarta Interbank Spot Dollar
Rate (JISDOR), was fixed at 11,354 per dollar,
compared with Thursday's 11,234.
The rupiah spot pared some of earlier slides after data
showed consumer prices in October rose less than expected.
The Indonesian currency, however, gave up most of the
recovery to head to the session low as the September trade was
$660 million, larger than a Reuters poll forecast of $70
million, with weaker-than-expected export growth.
The ringgit fell in thin trading as government bond yields
The Malaysian currency recovered some initial losses on
dollar selling for daily fixing.
Some investors bought the ringgit against the Singapore
dollar on dips, limiting its loss against the
Against Singapore dollar, the ringgit was down 0.4 percent
to 2.5497, off the session low of 2.5613.
The baht fell on weaker Bangkok stocks and as local
bond yields jumped.
The 10-year government bond yield rose to 4.01
percent, its highest since Sept. 23, while the five-year yield
advanced to 3.60 percent, its highest since Oct. 11.
In September, Thailand's current account swung to a deficit
with a slide in exports, central bank data showed on Thursday.
A senior Thai bank trader in Bangkok said the baht is seen
weakening to 31.25 per dollar.
CURRENCIES VS U.S. DOLLAR
Change on the day at 0526 GMT
Currency Latest bid Previous day Pct Move
Japan yen 97.93 98.35 +0.43
Sing dlr 1.2422 1.2420 -0.02
Taiwan dlr 29.407 29.455 +0.16
Korean won 1061.50 1060.70 -0.08
Baht 31.17 31.10 -0.22
Peso 43.21 43.21 +0.00
Rupiah 11325.00 11265.00 -0.53
Rupee 61.83 61.50 -0.53
Ringgit 3.1690 3.1556 -0.42
Yuan 6.0945 6.0945 +0.00
Change so far in 2013
Currency Latest bid End prev year Pct Move
Japan yen 97.93 86.79 -11.38
Sing dlr 1.2422 1.2219 -1.63
Taiwan dlr 29.407 29.136 -0.92
Korean won 1061.50 1070.60 +0.86
Baht 31.17 30.61 -1.80
Peso 43.21 41.05 -5.00
Rupiah 11325.00 9630.00 -14.97
Rupee 61.83 54.99 -11.06
Ringgit 3.1690 3.0580 -3.50
Yuan 6.0945 6.2303 +2.23
* Philippine financial markets are closed for a holiday.
(Additional reporting by IFR Markets' Catherine Tan; Editing by
- USA News