Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Taiwan Dollar Reverses Advance on Intervention Speculation

Don't Miss Out —
Follow us on:

March 1 (Bloomberg) -- Taiwan’s dollar reversed gains after reaching the strongest level in almost six months on speculation the central bank will limit gains to support the island’s exporters. Government bonds were little changed.

The currency, which was up as much as 0.4 percent earlier, fell on suspected intervention by the central bank, according to two traders who refused to be identified as the monetary authority doesn’t disclose such details. Global funds bought $140 million more Taiwanese shares than they sold today, according to exchange data. Official data last week showed export orders fell 8.63 percent in January from a year ago, and industrial production plunged 16.46 percent in the same period.

“The state of the economy doesn’t justify huge currency gains,” said Tarsicio Tong, a currency trader at Union Bank of Taiwan in Taipei. “Concern over economic growth is still there.”

The Taiwan dollar fell 0.2 percent to NT$29.487 against its U.S. counterpart, according to Taipei Forex Inc. The currency reached NT$29.300 earlier, the strongest level since Sept. 9.

The yield on the government’s 1.25 percent bonds due March 2022 was little changed at 1.28 percent, prices from Gretai Securities Market show. The overnight money-market rate, which measures interbank funding availability, dropped one basis point, or 0.01 percentage point, to 0.395 percent, according to a weighted average compiled by the Taiwan Interbank Money Center.

To contact the reporter on this story: Andrea Wong in Taipei at awong268@bloomberg.net

To contact the editor responsible for this story: Sandy Hendry at shendry@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.