The euro advanced to near a seven-week high against the dollar after reports showed the contraction in European manufacturing and services slowed more than forecast and German business confidence rose.
The 16-nation currency posted a second weekly gain versus the dollar and yen as signs of global recovery bolstered demand for higher-yielding assets. Sterling fell the most in more than a week against the euro as a report showed Britain’s economy shrank more than twice as much as economists forecast.
The euro climbed 0.5 percent to US$1.4214 at 4:15pm in New York, extending its advance this week to 0.8 percent. It touched US$1.4291 on Thursday, the highest level since June 3.
The euro appreciated 0.3 percent to ¥134.70 from ¥134.30, increasing 1.4 percent over the past five days. The dollar dropped 0.2 percent to ¥94.76 from ¥94.92.
The euro traded within US$0.03 above and below US$1.40 since early last month. The currency will oscillate at about US$1.42 next week, Strauss said.
Asian currencies had a second weekly gain, led by Indonesia’s rupiah, as pickups in South Korean economic growth and US home sales fueled optimism a global recovery will increase demand for emerging-market assets.
The Bloomberg-JPMorgan Asia Dollar Index, which tracks the 10 most-active currencies excluding the yen, this week reached its highest level in more than a month as data showed the pace of decline in exports from Japan and Taiwan eased. The MSCI Asia-Pacific Index of shares rose for a ninth day, its longest winning streak since 2004, after the Asian Development Bank said the region’s rebound from a slump may be “V-shaped.”
The rupiah jumped 1.8 percent this week to 9,998 per dollar in Jakarta, according to data compiled by Bloomberg. The South Korean won climbed 0.8 percent to 1,249.55, Malaysia’s ringgit gained 1.1 percent to 3.5295 and India’s rupee rose 1.1 percent to 48.23.
The New Taiwan dollar erased a weekly advance of 0.5 percent in the final minute of trading in Taipei, closing unchanged from last Friday at NT$32.955, on speculation the central bank intervened.
Appreciation may hurt exports, which account for about half of the country’s GDP.
Taiwan reported on Thursday that export orders, indicative of its shipments in one to three months, declined the least in eight months last month, while Japan said overseas sales fell at their slowest pace this year.
The Asia Dollar Index touched 108.28 on Monday, the highest level since June 10, and increased 0.3 percent this week. The benchmark regional stock index climbed 4.4 percent, its best performance in 11 weeks.
Elsewhere, the Singapore dollar advanced 0.7 percent this week to S$1.4413 against the US currency and the Thai baht gained 0.3 percent to 33.97. The Philippine peso was little changed at 48.067.
MORE VISITORS: The Tourism Administration said that it is seeing positive prospects in its efforts to expand the tourism market in North America and Europe Taiwan has been ranked as the cheapest place in the world to travel to this year, based on a list recommended by NerdWallet. The San Francisco-based personal finance company said that Taiwan topped the list of 16 nations it chose for budget travelers because US tourists do not need visas and travelers can easily have a good meal for less than US$10. A bus ride in Taipei costs just under US$0.50, while subway rides start at US$0.60, the firm said, adding that public transportation in Taiwan is easy to navigate. The firm also called Taiwan a “food lover’s paradise,” citing inexpensive breakfast stalls
TRADE: A mandatory declaration of origin for manufactured goods bound for the US is to take effect on May 7 to block China from exploiting Taiwan’s trade channels All products manufactured in Taiwan and exported to the US must include a signed declaration of origin starting on May 7, the Bureau of Foreign Trade announced yesterday. US President Donald Trump on April 2 imposed a 32 percent tariff on imports from Taiwan, but one week later announced a 90-day pause on its implementation. However, a universal 10 percent tariff was immediately applied to most imports from around the world. On April 12, the Trump administration further exempted computers, smartphones and semiconductors from the new tariffs. In response, President William Lai’s (賴清德) administration has introduced a series of countermeasures to support affected
CROSS-STRAIT: The vast majority of Taiwanese support maintaining the ‘status quo,’ while concern is rising about Beijing’s influence operations More than eight out of 10 Taiwanese reject Beijing’s “one country, two systems” framework for cross-strait relations, according to a survey released by the Mainland Affairs Council (MAC) on Thursday. The MAC’s latest quarterly survey found that 84.4 percent of respondents opposed Beijing’s “one country, two systems” formula for handling cross-strait relations — a figure consistent with past polling. Over the past three years, opposition to the framework has remained high, ranging from a low of 83.6 percent in April 2023 to a peak of 89.6 percent in April last year. In the most recent poll, 82.5 percent also rejected China’s
PLUGGING HOLES: The amendments would bring the legislation in line with systems found in other countries such as Japan and the US, Legislator Chen Kuan-ting said Democratic Progressive Party (DPP) Legislator Chen Kuan-ting (陳冠廷) has proposed amending national security legislation amid a spate of espionage cases. Potential gaps in security vetting procedures for personnel with access to sensitive information prompted him to propose the amendments, which would introduce changes to Article 14 of the Classified National Security Information Protection Act (國家機密保護法), Chen said yesterday. The proposal, which aims to enhance interagency vetting procedures and reduce the risk of classified information leaks, would establish a comprehensive security clearance system in Taiwan, he said. The amendment would require character and loyalty checks for civil servants and intelligence personnel prior to
RSS