Taiwan’s Dollar Rises to Highest Since November on Fed Outlook

Updated on

Taiwan’s dollar rose to the highest since November as local markets reopened after holidays amid speculation the Federal Reserve will delay raising interest rates after a report showed jobs growth slowed.

The Bloomberg Dollar Spot Index, which tracks the greenback against a basket of 10 leading global currencies, dropped 0.7 percent on April 3 after official data showed U.S. employers in March added the fewest workers since December 2013. Higher U.S. borrowing costs could trigger outflows from emerging markets such as Taiwan. The island’s markets were shut on April 3 and 6.

Taiwan’s currency advanced 0.5 percent to NT$31.152 against the greenback on Tuesday, Taipei Forex Inc. prices show. It rose to NT$30.976 earlier, the strongest level since Nov. 28.

“The non-farm payrolls were not good,” said Cindy Yu, an economist at Taipei Fubon Commercial Bank Co. “Before today, we were on holiday.”

Sovereign bonds were little changed. The yield on the 2025 notes was at 1.545 percent compared with 1.542 percent on April 2, Taipei Exchange prices show.

Before it's here, it's on the Bloomberg Terminal. LEARN MORE