Asian Currencies Reach 4-Month High on China, Fed Stimulus Bets

Asian currencies rose to a four-month high on optimism potential stimulus measures by China and the U.S., among the region’s biggest export markets, will boost inflows to emerging economies.

Malaysia’s ringgit and Taiwan’s dollar reached their strongest levels since May after Chinese Premier Wen Jiabao said yesterday the nation will appropriately use preemptive policy to bolster growth. Global funds bought $650 million more stocks in India, South Korea, Taiwan and the Philippines than they sold this week, bringing the tally for those countries to more than $26 billion this year, exchange data show.