The Taiwan dollar eased to a six-month low on Friday on importers' deals and as it tracked losses in the yen after a larger-than-expected fall in Japan's core consumer prices. The local currency fell for a sixth straight session and dropped to as low as T$33.274, the weakest level since October 30 when the day's trough was T$33.280.
The Taiwan dollar ended at T$33.265, weaker than Thursday's close of T$33.216. Volume on the main Taipei Forex Inc exchange was US $772 million, lower than US $970 million in the previous session. "Importers were very active today buying US dollars. We also saw oil firms coming into the market," said a dealer in Taipei.
Dealers said the yen's losses also helped push the Taiwan dollar lower. The yen fell to 119.44/47 to the US dollar from 118.93/96 in the previous Asian trade after Japan's core consumer prices reinforced expectations that the Bank of Japan will take its time raising interest rates further.