Taiwan Dollar’s Fortunes Are Changing on Heavy Foreign Outflows
- It was Asia’s best-performer in January-September period
- Low carry, political risks are also weighing on the currency
Photographer: Ceng Shou Yi/NurPhoto/Getty Images
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The Taiwan dollar faces growing headwinds from foreign outflows, after topping Asia’s currency ranking in the first nine months of the year.
Robust exports and trade surplus helped the Taiwan dollar overcome the greenback’s strength and outperform Asian currencies in the January to September period. It’s now fallen behind some of its peers as foreigners sold $2.3 billion of local equities this month, up from $440 million in September.