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It’s Friday, So Asian Central Banks Are Back in Currencies

  • Malaysian monetary authority confirms it’s supporting ringgit
  • India said by traders to intervene; Indonesia did last week
Bloomberg business news

U.S. Dollar Strength Pushes to 13-Year High

Updated on

For the second time in two weeks the shockwaves rippling through global markets after the U.S. election have provoked Asian central banks to step in to calm their currencies -- mindful of concerns the region might see a sequel to 2013’s so-called Taper Tantrum.

Bank Negara Malaysia Assistant Governor Adnan Zaylani said on Friday the monetary authority was intervening after the ringgit dropped to a 10-month low. Indian state-run lenders sold dollars, probably on behalf of the Reserve Bank of India, according to two Mumbai-based traders who didn’t want to be identified. Developing-nation currencies have tumbled after Donald Trump’s upset win in the U.S. presidential election on Nov. 8, as indications he will spend on domestic infrastructure revived demand for the greenback.