Profit booking hurts Asia FX; rupee shines on election optimism

Most emerging Asian currencies eased on Monday with some investors taking profits from their gains last week, while the Indian rupee hit a near 10-month high on bets of a strong win for the main opposition party in parliamentary elections.

The Chinese yuan fell, putting pressure on regional peers, after the central bank fixed the daily midpoint at its lowest level in eight months.

Thailand's baht fell as local shares touched six-week lows amid risk of political violence.

Investors booked profits from the peso as the Philippine currency last week reported the largest weekly gain in nearly two years.

The ringgit slid as investors covered short positions in the dollar ahead of the closure of financial markets in Malaysia on Tuesday. Markets in Singapore and Thailand will also be shut for a holiday.

The rupee, however, rose as much as 0.9 percent to 59.51 per dollar, its strongest since July 29, 2013, as local stocks jumped almost 2 percent.

Investors bet on a strong victory for the opposition Bharatiya Janata Party, seen as more reform-minded and business friendly.

EDITORIAL OF THE DAY

  • Finalising the formula for fixing the fair market value of shares calls for a detailed debate

    Whenever there is a change of regime at the Centre, the new government has its tasks cut out for execution.

FC NEWSLETTER

Stay informed on our latest news!

TODAY'S COLUMNS

Roopen Roy

High CEO pay and the gaps it leaves

Unlike the UK, Norway took a remarkable decision with its ...

Zehra Naqvi

Watch your words, for they can kill

You must’ve heard the ph­rase ‘if looks could kill’. Ever ...

Dharmendra Khandal

Biodiversity day has come and gone. Yet again

Every year on May 22, world celebrates international biodiversity day. ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture