The South Korean won and Philippine peso led Asian currencies higher on Thursday as investors' risk appetite rose on the back of favourable Australian jobs data while concerns about China's policy tightening receded. The yen dipped broadly after data showed net employment in Australia rose in December for a fourth month and the jobless rate hit an eight-month low, encouraging investors to pick up higher-yielding currencies.
WON Dollar/won NDFs dipped across the curve and traders cited heavy selling by hedge funds after the upbeat Australian data. One-month NDFs slipped from Wednesday's close at 1,125.5 to 1,122, virtually at par with the spot rate. "Funds are still selling (dollar/won) - they are looking for a break of 1,120 and target and target 1,100 in 1-month NDFs," said a trader in Singapore. Spot won gained a third of a percent to 1,122 per dollar.
PESO The peso gained 0.4 percent to 45.69 per dollar - but was still off a near 16-month high hit earlier this week. Dollar/peso inched down in offshore forwards markets. One-month dollar/peso NDFs fell to 45.83 while 1-month dollar/peso onshore forwards hovers near 45.90.
BAHT The baht rose almost 0.4 percent to an 18-month high of 32.90 per dollar after a breach of the 33.00 resistance. "Bank of Thailand has come in at 32.95 to slow its gains, which would meet stronger resistance at 32.90 if it tested that level later. It is largely tracking stronger Asian peers after China's bank reserves tightening," a trader in Bangkok said. Other dealers said the dip below 33.00 triggered heavy dollar selling by Thai exporters. The currency has gained 1.3 percent against the dollar this year after rising 4.6 percent in 2009.