AFP: Forex news: dollar recovers from new multi-month lows vs Southeast Asian rivals
Early Tuesday morning in Asia, most Southeast Asian currencies lost ground against the U.S. dollar. Thus the Indian rupee, Malaysian ringgit and the Taiwan dollar plunged from new multi-month highs against the US currency.
The currencies slipped despite a gain in stock prices. With better-than-expected economic data from the U.S. and some major Asian nations including Japan, China and India over the past few days raising hopes of a global economic revival, the mood remains fairly bullish in the Asia-Pacific region on Tuesday. Extending their winning streak, most of the markets in Asian region moved up sharply today with energy, materials, automobile and machinery stocks recording strong gains.
The Indian rupee that rose to a new multi-month high of 46.5850 against the dollar, at 8:15 pm ET Monday lost ground after the Indian forex market opened for trading on Tuesday morning and reached the point of 47.1150, with 47.525 seen as the next target level. USD/INR pair closed Monday’s North American deals at the level of 46.7750.
The Chinese yuan moved down from 6.8260 to 6.8324 against the dollar by about 9:15 pm ET during early Asian deals on Tuesday, compared to yesterday’s close at 6.8277. On the downside, USD/ CNY rally would find resistance near 6.8415.The People's Bank of China has set today's central parity rate for the USD/?NY pair at 6.8309.
US dollar also surged versus the currencies of Taiwan and Malaysia. Thus, buck recovered after hitting lows of 32.2220 and 3.4695, respectively, hitting by about 8:00 pm ET Monday highs of 32.3165 versus Taiwan dollar and 3.49 against Malaysian ringgit. That may be compared to Monday’s New York closing values of 32.2550 and 3.4750. If greenback rose further, it would find support around 32.51 against TWD and 3.51 against MYR.
The South Korean won that closed yesterday's trading at 1233.30 against the dollar slipped to 1240.15 during early Asian deals on Tuesday. 1262.1 was seen as the next downside target for KRW.
Greenback rose to a high of 47.19 against the Philippine peso in early Asian deals on Tuesday, with 47.45 seen as the next likely target. Late Monday in New York USD/PHP pair was quoted as much as 47.0150
The Hong Kong dollar slipped to 7.7527 during early Asian deals on Tuesday, compared to 7.7510 late Monday in New York. USD/ HKD rally would touch 7.7539 as the next downside target.
At the same time, the Singapore dollar gained against the US dollar during early Asian trading on Tuesday, growing to 1.438 against the greenback at about 8:05 pm ET, with 1.4355 seen as the near term support. At Monday's New York session close, the pair was worth at 1.442.
