Asian currencies gained against the US dollar last week after the greenback's recent gains were halted, but the Australian dollar was expected to come under pressure because of weaker gold prices.
JAPANESE YEN: The yen gained ground slightly during the week as dollar-buying sentiment was dampened by expectations that US monetary authorities would keep their low-interest policy for the time being, dealers said. The Japanese currency stood at 112.15 to the dollar late Friday, up from 112.29 to the dollar a week earlier.
The dollar remained firm against the yen earlier in the week on expectations that the twin US trade and fiscal deficits are on course for improvement after surprisingly strong US trade figures, dealers said.
The dollar gained further on Thursday against major currencies supported by better-than-expected US retail sales figures and flat consumer inflation data for June.
But the US currency failed to get a major lift from the figures on Friday because although they showed robust economic activity, tame inflation could allow the Federal Reserve to keep interest rates relatively low.
The market focus has now shifted to next week's testimony to Congress by Federal Reserve chief Alan Greenspan, dealers said.
The impact of the deadly blasts in London on financial markets remained limited, they said.
AUSTRALIAN DOLLAR: The Australian dollar closed up for the week on Friday but is likely to be tested in the coming week, dealers said.
It ended the week at 75.31, up one-and-a-half cents from the previous week's 73.81 US cents.
ANZ currency strategist Craig Ferguson said a variety of reasons including weaker gold prices would likely put the currency under pressure in the coming weeks.
"Not only strong US data, but weak gold prices, will weigh on the Australian dollar," he said.
"Gold stocks were decimated in Australia today, with market leader Newcrest falling almost four percent in reaction to lower prices for the precious metal at the open this morning."
Gold prices could drive the Australian dollar back to 73.70 dollars but "may also be leading further softness in base metals into next week as well, which would compound the decline in the local currency," he said.
NEW ZEALAND DOLLAR: The kiwi ended the week in local trading at 67.75 US cents compared with 67.08 the previous week.
It gained ground late in the week after the US dollar's recent gains were halted, although dealers said it was likely to be only a temporary pause. The US dollar was still looking fundamentally strong and soon was likely to again force the kiwi lower, one dealer said.
HONG KONG DOLLAR: Hong Kong's US-pegged dollar was at 7.7783 on Friday from 7.774 the previous week.
INDONESIAN RUPIAH: The Indonesian rupiah closed trading Friday at 9,780/9,785 to the dollar compared to the previous week's 9,790-9,800.
PHILIPPINE PESO: The peso traded higher at 55.845 to the dollar on Friday afternoon, compared to 56.10 on July 8.
SINGAPORE DOLLAR: The dollar was at 1.6865 Singapore dollars on Friday from 1.7012 dollars the previous week.
SOUTH KOREAN WON: The won closed at 1,042.20 won per dollar Friday, compared with 1,054.80 won a week earlier.
The dollar-won exchange rate slumped 10.42 won on Friday alone, ending four days of rise, as the greenback regained strength.
Dealers said the won was expected to move in a range of between 1,035 and 1,045 won in the coming week.
TAIWAN DOLLAR: The Taiwan dollar rose 0.54 percent over the week to end at 31.942 against the greenback Friday. It finished at 32.115 a week ago.
THAI BAHT: The baht rebounded against the US dollar over the past week due to poor US non-farm payroll data and US speculation in the international media that China will revalue its yuan as early as August, dealers said. The Thai unit closed on Friday at 41.73-75 baht to one dollar compared to last week's close at 42.09-11.
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