EM ASIA FX-Rupiah cheered by trade data, Asia FX up broadly

Reuters

* Rupiah rises as Indonesia has surprise trade surplus

* Asian currencies rise broadly but outlook uncertain

* US govt shutdown starts, focus will move to debt ceiling

By Masayuki Kitano

SINGAPORE, Oct 1 (Reuters) - Asian currencies rose on

Tuesday, with the rupiah making a significant gain after

Indonesia reported a surprise monthly trade surplus, but the

outlook was murky as the U.S. government began a partial

shutdown.

The rupiah pulled away from Monday's 4-1/2

year low versus the dollar, getting a lift after Indonesia

announced a trade surplus of $130 million for August, compared

to market expectations for a deficit of $890 million.

The Indian rupee rose as the currency found some

support after data released on Monday showed a

lower-than-expected June quarter current account gap.

There were mixed views on the outlook for emerging Asian

currencies as the U.S. government began a partial shutdown on

Tuesday for the first time in 17 years.

Satoshi Okagawa, senior global markets analyst for Sumitomo

Mitsui Banking Corporation in Singapore, said near-term gains in

Asian currencies likely will be limited as focus shifts to

negotiations on raising the U.S. government's borrowing

authority, a factor that could curb investors' appetite for

risk.

"The biggest worry for financial markets now is the issue of

the debt ceiling," Okagawa said.

At issue is whether the U.S. Congress can meet a mid-October

deadline to raise the government's $16.7 trillion debt ceiling.

Failure to do so may result in a debt default that could

cripple the U.S. economy and send shockwaves around the globe.

It may be best to avoid tilting bets too heavily in one

direction for now, said a trader for a Japanese bank in

Singapore.

"I'm trying not to have a biased view right now, so I can

move in either direction depending on the circumstances," the

trader said.

INDONESIAN RUPIAH

The Indonesian rupiah rose 0.5 percent to 11,510 to the

dollar, pulling away from Monday's low of 11,660, which was the

rupiah's lowest level dollar since March 2009.

Earlier on Tuesday, well before the release of the

Indonesian trade data, two traders said state-run banks had sold

the dollar, with one Jakarta-based trader saying Indonesia's

central bank had sold the dollar via state-run banks.

The rupiah has been the worst performing Asian currency in

2013 with a 16 percent slide against the dollar, according to

Thomson Reuters data.

Due to Indonesia's current account deficit, the rupiah is

seen as more vulnerable than other emerging currencies to the

U.S. Federal Reserve's eventual scaling back of its bond-buying

stimulus.

The following table shows the position of Asian currencies

against the dollar at 0719 GMT.

CURRENCIES VS U.S. DOLLAR

Change on the day at 0719 GMT

Currency Latest bid Previous day Pct Move

Japan yen 97.88 98.23 +0.36

Sing dlr 1.2514 1.2563 +0.39

Taiwan dlr 29.510 29.670 +0.54

Korean won 1072.40 1074.70 +0.21

Baht 31.11 31.29 +0.56

Peso 43.34 43.54 +0.47

Rupiah 11510.00 11570.00 +0.52

Rupee 62.27 62.60 +0.54

Ringgit 3.2345 3.2595 +0.77

Yuan 6.1220 6.1220 +0.00

Change so far in 2013

Currency Latest bid End prev year Pct Move

Japan yen 97.88 86.79 -11.33

Sing dlr 1.2514 1.2219 -2.36

Taiwan dlr 29.510 29.136 -1.27

Korean won 1072.40 1070.60 -0.17

Baht 31.11 30.61 -1.61

Peso 43.34 41.05 -5.27

Rupiah 11510.00 9630.00 -16.33

Rupee 62.27 54.99 -11.68

Ringgit 3.2345 3.0580 -5.46

Yuan 6.1220 6.2303 +1.77

------------------------------------------------

(Additional reporting by Subhadip Sircar in MUMBAI; Editing by

Richard Borsuk)

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