SINGAPORE, April 17 — The won rose the most among Asian currencies against a steady US dollar today, boosted by the return of capital inflows to South Korea.
Investors wagered US-led attacks on Syria at the weekend would not escalate into a wider conflict in the Middle East, keeping the US dollar stable.
The US dollar index against a basket of six major currencies was effectively flat at 89.414.
Among Asian currencies, the South Korean won gained about 0.6 per cent.
“With regards to Asian net capital inflows, we are witnessing an attempted rebound in net bond inflows for South Korea,” OCBC Bank FX Strategists Emmanuel Ng and Terence Wu wrote in a research note.
Meanwhile, the Taiwan dollar rose for the first time in five sessions, firming as much as 0.15 per cent, the most in more than two weeks. Taiwan's dollar had slipped as much as 0.33 per cent yesterday to hit its weakest in more than two months.
Malaysia's ringgit firmed today after ending a fourth consecutive session weaker yesterday.
The Singapore dollar was a shade firmer, as was the Indonesian rupiah.
India's rupee moved in the other direction, slipping about 0.1 per cent.
“In India, net equity inflows are moderating sharply... with the net positive inflow balance moderating lower,” wrote the OCBC Bank strategists.
The Philippine peso edged down 0.05 per cent, a little less than the change seen in the Thai baht.
The baht slipped 0.06 per cent, trading for the first time after markets re-opened following the Songkran Festival holidays.
Chinese yuan
China's yuan weakened 0.1 per cent, hurt by corporate demand for US dollars, with traders looking past US President Donald Trump's claims of China playing a “devaluation game.”
Data out of Beijing showed China's economic growth slightly outdid expectations by maintaining an even 6.8 per cent for the first quarter of 2018, although industrial output grew a more modest 6.0 per cent in March from a year earlier, missing expectations.
Growth in China's fixed-asset investment slowed to 7.5 per cent in the first quarter, also below forecasts. — Reuters
