EM ASIA FX-Summers report, caution on Fed cut Asia FX weekly gains

Reuters

(Updates prices. For midday report, double-click

)

SINGAPORE, Sept 13 (Reuters) - Most emerging Asian

currencies slid on Friday as some investors booked profits ahead

of a big Federal Reserve policy meeting and after a media report

said former Treasury Secretary Lawrence Summers would be named

the new U.S. central bank chief.

A leading Japanese business daily, Nikkei, reported that the

White House was expected to announce the nomination as early as

next week, after the Fed's Sept. 17-18 meeting. The report,

which was not confirmed, boosted the dollar.

Investors see Summers as less dovish on monetary policy than

Fed Vice Chair Janet Yellen, another top candidate for chairman

position. If nominated, Summers would likely face stiff

opposition from Republicans and some Democrats.

Emerging Asian currencies were already under pressure as

investors tried to guess how much the Fed will cut its monetary

stimulus next week.

The Indonesian rupiah slid on sustained dollar demand

from local companies despite the central bank's surprising rate

hikes on Thursday.

The Malaysian ringgit and the Thai baht

depreciated as investors cut bullish bets and there were dollar

bids from importers.

Still, most emerging Asian currencies were set to see weekly

gains as recent disappointing U.S. data prompted expectations

that the Fed may scale back its bond-buying programme less than

initially feared.

So far this week, the Indian rupee was the best performer in

the region with 2.6 percent appreciation against the dollar,

according to Thomson Reuters data.

The baht has advanced 1.5 percent so far this week on

capital inflows. The Philippine peso gained 1.4

percent and the ringgit was up 1.2 percent on short-covering.

The South Korean won rose 0.6 percent and the

Singapore dollar has gained 0.3 percent.

CURRENCIES VS U.S. DOLLAR

Change on the day at 0828 GMT

Currency Latest bid Previous day Pct Move

Japan yen 99.61 99.55 -0.06

Sing dlr 1.2699 1.2668 -0.24

Taiwan dlr 29.810 29.783 -0.09

Korean won 1085.78 1085.00 -0.07

Baht 31.86 31.74 -0.38

Peso 43.86 43.89 +0.07

Rupiah 11420.00 11325.00 -0.83

Rupee 63.58 63.50 -0.13

Ringgit 3.2865 3.2776 -0.27

Yuan 6.1187 6.1180 -0.01

Change so far in 2013

Currency Latest bid End prev year Pct Move

Japan yen 99.61 86.79 -12.87

Sing dlr 1.2699 1.2219 -3.78

Taiwan dlr 29.810 29.136 -2.26

Korean won 1085.78 1070.60 -1.40

Baht 31.86 30.61 -3.92

Peso 43.86 41.05 -6.41

Rupiah 11420.00 9630.00 -15.67

Rupee 63.58 54.99 -13.51

Ringgit 3.2865 3.0580 -6.95

Yuan 6.1187 6.2303 +1.82

(Reporting by Jongwoo Cheon; Editing by Richard Borsuk)

View Comments (1)