Most emerging Asian currencies rose on
Monday, even as China vowed to continue with its strict COVID-19
containment strategy, with Indonesia’s rupiah rebounding from
the previous session’s losses and the South Korean won gaining
more than 1%.
Traders in the region hoped that Friday’s US jobs report,
which showed an uptick in the unemployment rate in October,
could offer some leeway for the Federal Reserve to downsize its
future rate hikes.
The South Korean won strengthened 1.3%, hitting
its highest level in a month. The currency also led gains in the
The Indonesian rupiah firmed 0.3% and stocks in
Jakarta recouped earlier losses to trade 0.2% higher,
after country’s economy expanded at its fastest pace in more
than a year, in the third quarter.
“We continue to expect BI (Bank Indonesia) to hike policy
rates by another 50 basis points (bps) in November before
slowing to a 25 bps/meeting pace starting in December, until the
policy rate reaches a terminal rate of 6.25% in Q2 2023,”
analysts at Goldman Sachs said.
The Thai baht added 0.2% to its highest since Oct.
6 as the country’s inflation rose 5.98% in October and
marginally missed analysts’ estimates. A senior commerce
official also forecast inflation to slow in the remainder of the
“Inflation eased further in October as energy costs
continued to slow while food prices finally showed signs of
peaking despite concerns on the impact of floods, Maybank
“We expect the Bank of Thailand to maintain its gradual
policy tightening, and hike by 25 basis points in the upcoming
meeting on Nov. 30,” they added.
The Malaysian ringgit inched 0.1% higher, but still
hovered over its 1998 lows.
The Philippine peso and Singapore dollar
underperformed their peers, sliding 0.3% each.
Meanwhile, the Chinese yuan softened 0.4% after
gaining over a percent in the previous session, while its stocks
edged 0.2% lower. Beijing denied it was considering
easing its zero COVID policy, further pushing the US dollar
The world’s second-largest economy also reported its highest
number of new COVID-19 infections in six months on Sunday and
Its October exports and imports missed expectations.
Stocks in Manila, led gains among Asian equities,
jumping 1.1%, with South Korean shares in close second,
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Asia stock indexes and currencies
at 0645 GMT
COUNTRY FX RIC FX FX INDE STOCKS STOCKS
DAILY % YTD % X DAILY YTD %
Japan -0.42 -21.8 <.n2>
India +0.30 -9.57 <.ns ei>
Indonesi +0.29 -9.18 <.jk a se>
Malaysia +0.08 -12.1 <.kl se>
Philippi -0.26 -12.7 <.ps nes i>
Singapore -0.26 -4.12 <.st e i>
Taiwan +0.36 -13.7 <.tw ii>
Thailand +0.17 -10.7 <.se ti>
(Reporting by Jaskiran Singh in Bengaluru, additional reporting
by Navya Mittal; Editing by Stephen Coates and Uttaresh.V)