* Thai baht weakens; economic growth seen slowing - deputy
PM
* Indonesian rupiah eases up to 0.2%
(Adds text, updates prices)
By Niyati Shetty
May 15 (Reuters) - The Indonesian rupiah weakened on
Wednesday after the country posted a record trade deficit, but
most other Asian currencies enjoyed a welcome breather after
U.S. President Donald Trump softened his tough trade rhetoric
against China.
Trump insisted on Tuesday that talks between the world's
largest economies had not collapsed despite fresh U.S. tariff
measures on Friday and a Chinese reprisal, triggering some short
covering in battered global financial
markets. MKTS/GLOB
The yuan also steadied on the comments, despite unexpectedly
weak Chinese data on Wednesday that added to expectations
Beijing will have to roll out more economic stimulus
measures. The yuan CNY=CFXS was at 6.8750 per dollar, after losing
more than 2% since the trade war unexpectedly escalated last
week. CNY/
"While risk appetite may still be bruised from concerns of
full blown trade war, we think a significant portion of this
risk aversion may have been priced in," analysts at Maybank said
in a note to clients.
Currencies of export-reliant Asian nations that are
susceptible to the trade dispute were marginally stronger
against the greenback. The Korean won KRW=KFTC and the Taiwan
dollar TWD=TP each firmed 0.1%.
The Indian rupee INR=IN also gained on improved risk
sentiment, strengthening 0.3% to 70.255 a dollar.
"Rather than trade links, India is vulnerable to any
escalation in the trade war through capital outflows owing to
weak market sentiments." said Radhika Rao, economist at DBS Bank
in a note.
Elsewhere, the Thai baht THB=TH declined 0.3% as the
country's deputy prime minister on Wednesday said he expects
economic growth to slow this year due to rising global tensions
and domestic political uncertainty. FALTERS ON WIDEST EVER TRADE DEFICIT
The Indonesia rupiah IDR= weakened as much as 0.2% as
Southeast Asia's largest economy posted it widest trade deficit
in history on April. The archipelago booked its first deficit in three months at
$2.5 billion as exports slumped and the pace of fall in imports
were slower than expected.
However, Bank Indonesia is expected to keep interest rates
unchanged at 6% for a sixth straight policy meeting on Thursday
due to renewed pressures on the rupiah, as per a Reuters poll.
following table shows rates for Asian currencies against
the dollar at 0456 GMT.
CURRENCIES VS U.S. DOLLAR
Currency Latest bid Previous day Pct Move
Japan yen 109.630 109.59 -0.04
Sing dlr 1.368 1.3685 +0.03
Taiwan dlr 31.107 31.128 +0.07
Korean won 1188.500 1189.4 +0.08
Baht 31.580 31.5 -0.25
Peso 52.358 52.284 -0.14
Rupiah 14440.000 14425 -0.10
Rupee 70.255 70.44 +0.26
Ringgit 4.172 4.169 -0.07
Yuan 6.875 6.8753 +0.00
Change so far in 2019
Currency Latest bid End 2018 Pct Move
Japan yen 109.630 109.56 -0.06
Sing dlr 1.368 1.3627 -0.39
Taiwan dlr 31.107 30.733 -1.20
Korean won 1188.500 1115.70 -6.13
Baht 31.580 32.55 +3.07
Peso 52.358 52.47 +0.21
Rupiah 14440.000 14375 -0.45
Rupee 70.255 69.77 -0.69
Ringgit 4.172 4.1300 -1.01
Yuan 6.875 6.8730 -0.03