The US dollar posted its first monthly gain since June versus the currencies of major US trading partners as the US Federal Reserve moved closer to withdrawing stimulus measures that helped cause the greenback to fall 4.2 percent for the year.
The dollar advanced to a three-month high against the yen and rallied versus the euro after the Fed said at the conclusion of its Dec. 16 meeting that job losses are “abating.” The greenback pared its annual decrease against the Australian dollar and Norwegian krone as a surge in Treasury yields made the US currency less attractive as a funding vehicle for the purchase of higher-yielding assets.
The dollar appreciated 4.8 percent to US$1.4321 per euro on Thursday, from US$1.5005 at the end of November, paring its loss for last year to 2.5 percent. The US currency advanced 7.7 percent to ¥93.02, from ¥86.41, and gained 2.6 percent for the year. It touched ¥93.15 on Thursday, the highest level since Sept. 7. The euro increased 2.7 percent to ¥133.20 last month and advanced 5.1 percent last year.
The pound posted its first annual gain against both the dollar and the euro since 2006 last year and gilts had their first loss in a decade as evidence mounted that the UK is emerging from its longest recession on record.
The UK currency rose 1.1 percent against the US dollar in the holiday-shortened week to US$1.6138 as of 3:30pm on Thursday in London, extending its gain for the year to 11 percent. At the end of 1999, the pound traded at US$1.6182. The pound climbed 1.7 percent since last week to £0.8873 per euro, appreciating 7.9 percent in the 12 months.
Asian currencies strengthened this year, led by Indonesia’s rupiah and South Korea’s won, as regional economies led the recovery from a global slump.
The New Taiwan dollar strengthened 2.6 percent to NT$32.03 versus the greenback, the best annual performance since 2004. It reached a 15-month high of NT$31.948 on Thursday.
Elsewhere, India’s rupee gained 4.4 percent this year to 46.64 per dollar, Thailand’s baht rose 4.1 percent to 33.33, Singapore’s dollar climbed 3.1 percent to S$1.4014, and the Philippine peso advanced 2.8 percent to 46.225. China’s yuan and Hong Kong’s dollar were little changed at 6.8270 and 7.7551, respectively.
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