One-mth dollar/rupiah NDFs highest since Sept 2009
* Sing dlr, Philippine peso down on U.S. dlr-short covering
* Philippine c.bank deputy governor says peso to stay firm
(Adds text, updates prices)
By Jongwoo Cheon
SEOUL, Dec 21 (Reuters) - Most emerging Asian currencies
slid on Friday as deepening uncertainty over a U.S. budget deal
prompted investors to reduce risky assets after a Republican
attempt to avert the U.S. "fiscal cliff" failed.
The Indonesian rupiah slid, with dollar/rupiah
non-deliverable forwards (NDFs) at their highest in more than
three years.
The Singapore dollar and the Philippine peso
eased as investors covered short positions in the
U.S. dollar.
U.S. House Speaker John Boehner abandoned a tax bill
designed to prevent the fiscal cliff of automatic spending cuts
and tax increases set to start Jan. 1, denting other risky
assets including Asian stocks and the euro.
"Fiscal cliff worries are likely to keep investors away from
Asian currencies for a few days more, although markets may be
less sensitive to these issues because of the year-end effect,"
said a European bank dealer in Singapore.
Most emerging Asian currencies have seen inflows as monetary
policy easing by major central banks caused investors to seek
higher-yielding units with stronger economic and fiscal
fundamentals.
But regional units' upside is capped as the U.S. economy,
Asia's main exports market, may fall substantially if the
fiscal tussle is not resolved, or at least put off.
RUPIAH
One-month dollar/rupiah NDFs rose 0.5 percent to 9,845,
their highest since September 2009.
A break above 9,800 in the NDFs triggered faresh round of
buying from speculators and hedge-related purchases, dealers
said.
The central bank was noticed selling dollars at 9,670 they
added.
SINGAPORE DOLLAR
The Singapore dollar slid as worries over the fiscal cliff
prompted investors to cover short U.S. dollar positions,
although the city-state's currency took heart from corporate
demand.
PHILIPPINE PESO
The Philippine peso eased as investors squared bullish
positions with the country's financial markets closed until
Tuesday.
But the central bank Deputy Governor Diwa Guinigundo said
the Philippine currency is likely to stay firm next year.
Capital inflows on a possible credit rating upgrade will
give Bangko Sentral ng Pilipinas a greater challenge in terms of
keeping the peso stable, he said.
"Without the BSP's participation in the forex market, the
peso could have been firmer. But we really have to allow
fundamentals to determine the peso dollar rate, and that's what
happened in the first nine or 10 months of 2012, even up to the
end of November," he said.
CURRENCIES VS U.S. DOLLAR
Change on the day at 0705 GMT
Currency Latest bid Previous day Pct Move
Japan yen 83.93 84.37 +0.52
Sing dlr 1.2206 1.2183 -0.19
Taiwan dlr 29.050 29.120 +0.24
Korean won 1074.20 1074.70 +0.05
Baht 30.62 30.62 +0.00
Peso 41.14 41.07 -0.16
Rupiah 9685.00 9645.00 -0.41
Rupee 55.17 54.85 -0.59
Ringgit 3.0610 3.0550 -0.20
Yuan 6.2295 6.2302 +0.01
Change so far in 2012
Currency Latest bid End prev year Pct Move
Japan yen 83.93 76.92 -8.35
Sing dlr 1.2206 1.2969 +6.25
Taiwan dlr 29.050 30.290 +4.27
Korean won 1074.20 1151.80 +7.22
Baht 30.62 31.55 +3.04
Peso 41.14 43.84 +6.58
Rupiah 9685.00 9060.00 -6.45
Rupee 55.17 53.08 -3.79
Ringgit 3.0610 3.1685 +3.51
Yuan 6.2295 6.2940 +1.04
(Additional reporting by Rosemarie Francisco in MANILA and IFR
Markets' Catherine Tan; Editing by Eric Meijer)
EM ASIA FX-US budget impasse dents Asia FX; rupiah hit
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EM ASIA FX-US budget impasse dents Asia FX; rupiah hit
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