Asia Currencies Have Worst Month in a Year on Fed Bets, Outflows
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Asian currencies had their biggest monthly decline in a year as investors pulled money from regional assets after the Federal Reserve said it could taper its stimulus if the U.S. economy shows sustained improvement.
The Bloomberg-JPMorgan Asia Dollar Index dropped by the most since May 2012 as U.S. consumer confidence rose to a five-year high. Foreign funds were net sellers of stocks in Indonesia, Taiwan, Thailand and the Philippines this week after a report indicated Chinese manufacturing shrank in May. Global investors pulled $224 million from emerging-market bond funds in the week through May 29, Morgan Stanley said in a report, citing data published by EPFR Global.