The euro rallied against the US dollar for the first time in eight months as concern eased that the 16-nation region’s sovereign-debt crisis will worsen and spread to the global economy.
The US dollar dropped last month against all of its most-traded counterparts before next week’s payrolls report as US Federal Reserve Chairman Ben Bernanke testified last week that “the economic outlook remains unusually uncertain.”
The greenback on Friday slid below ¥86 for the first time this year as a report showed US economic growth slowed in the second quarter.
“European data has been surprisingly robust, while all signs are that the US is heading for slower growth in the second half,” said Vassili Serebriakov, a currency strategist at Wells Fargo & Co in New York. “There have been some hints from Fed policy makers that further easing could be on the table should the economy deteriorate.”
The euro climbed 6.7 percent to US$1.3052 on Friday, from US$1.2238 on June 30, in its first monthly advance since November, when it increased 1.9 percent. The euro rallied 10 percent from a four-year low of US$1.1877 reached on June 7. The euro gained 4.3 percent to ¥112.84, from ¥108.22. The US dollar slid 2.2 percent to ¥86.47, from ¥88.43, in its third monthly decline.
The pound gained for a third consecutive week, strengthening 1.7 percent to US$1.5696.
Sterling was at £0.8309 per euro, from £0.8372 on July 23.
Asian currencies strengthened this week, led by the Philippine peso and Indonesia’s rupiah, as the fastest economic growth in the world and relatively high interest rates attracted funds to the region.
The New Taiwan dollar, peso and rupiah advanced on each of the last five days and the MSCI Asia-Pacific Index of shares had a fourth weekly gain.
The NT dollar rose for a sixth day on Friday, its longest winning streak in more than a month, after Taiwan’s biggest listed company, Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), reported record earnings and foreigners added to their holdings of Taiwanese shares.
The NT dollar rose 0.1 percent to close at NT$32.05 against its US counterpart on Friday, according to Taipei Forex Inc. It touched a five-week high of NT$31.85 on Thursday as global funds bought more Taiwanese shares than they sold, as they have on all but one day in the last two weeks. The currency appreciated 0.3 percent this week and 0.7 percent this month.
The peso strengthened 1.7 percent this week to 45.525 per US dollar at the 4pm close in Manila. Indonesia’s rupiah appreciated 1 percent to 8,955, earlier touching a three-year high of 8,933. South Korea’s won climbed 1.4 percent to 1,182.75 and the Indian rupee rose 1 percent to 46.49.
Thailand’s baht slipped 0.1 percent to 32.25 per US dollar this week. Malaysia’s ringgit rose 0.5 percent to 3.1823 and China’s yuan gained 0.1 percent to 6.7735.
Authorities have detained three former Taiwan Semiconductor Manufacturing Co (TMSC, 台積電) employees on suspicion of compromising classified technology used in making 2-nanometer chips, the Taiwan High Prosecutors’ Office said yesterday. Prosecutors are holding a former TSMC engineer surnamed Chen (陳) and two recently sacked TSMC engineers, including one person surnamed Wu (吳) in detention with restricted communication, following an investigation launched on July 25, a statement said. The announcement came a day after Nikkei Asia reported on the technology theft in an exclusive story, saying TSMC had fired two workers for contravening data rules on advanced chipmaking technology. Two-nanometer wafers are the most
DEFENSE: The first set of three NASAMS that were previously purchased is expected to be delivered by the end of this year and deployed near the capital, sources said Taiwan plans to procure 28 more sets of M-142 High Mobility Artillery Rocket Systems (HIMARS), as well as nine additional sets of National Advanced Surface-to-Air Missile Systems (NASAMS), military sources said yesterday. Taiwan had previously purchased 29 HIMARS launchers from the US and received the first 11 last year. Once the planned purchases are completed and delivered, Taiwan would have 57 sets of HIMARS. The army has also increased the number of MGM-140 Army Tactical Missile Systems (ATACMS) purchased from 64 to 84, the sources added. Each HIMARS launch pod can carry six Guided Multiple Launch Rocket Systems, capable of
Tsunami waves were possible in three areas of Kamchatka in Russia’s Far East, the Russian Ministry for Emergency Services said yesterday after a magnitude 7.0 earthquake hit the nearby Kuril Islands. “The expected wave heights are low, but you must still move away from the shore,” the ministry said on the Telegram messaging app, after the latest seismic activity in the area. However, the Pacific Tsunami Warning System in Hawaii said there was no tsunami warning after the quake. The Russian tsunami alert was later canceled. Overnight, the Krasheninnikov volcano in Kamchatka erupted for the first time in 600 years, Russia’s RIA
CHINA’s BULLYING: The former British prime minister said that he believes ‘Taiwan can and will’ protect its freedom and democracy, as its people are lovers of liberty Former British prime minister Boris Johnson yesterday said Western nations should have the courage to stand with and deepen their economic partnerships with Taiwan in the face of China’s intensified pressure. He made the remarks at the ninth Ketagalan Forum: 2025 Indo-Pacific Security Dialogue hosted by the Ministry of Foreign Affairs and the Prospect Foundation in Taipei. Johnson, who is visiting Taiwan for the first time, said he had seen Taiwan’s coastline on a screen on his indoor bicycle, but wanted to learn more about the nation, including its artificial intelligence (AI) development, the key technology of the 21st century. Calling himself an
RSS