Asian Currencies Heading for Solid June

Asian currencies headed for the month’s biggest weekly gain as economic data from China to South Korea sparked optimism regional growth is picking up. The rupiah fell as Indonesia said it will allow declines to spur exports.

Manufacturing in China rose at the fastest pace in seven months, Korea’s current-account surplus widened and Taiwan’s factory output grew more than estimated, reports showed this week. Global investors pumped more than $5 billion this month into eight Asian emerging stock markets tracked by Bloomberg.

The Bloomberg-JPMorgan Asia Dollar Index (ADXY), which tracks the region’s 10 most-active currencies excluding the yen, rose 0.2 percent in the past five days and 0.6 percent this quarter. The won strengthened 0.7 percent since June 20 to 1,014.05 per dollar as of 12:21 p.m. in Seoul, Taiwan’s dollar gained 0.5 percent to NT$29.905 and the Malaysian ringgit appreciated 0.4 percent to 3.2102, according to data compiled by Bloomberg.

Bloomberg

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