Most emerging Asian currencies eased on Wednesday as investors cut risky bets after the Federal Reserve gave no hints of new stimulus measures to bolster US growth and offset concerns about the eurozone debt crisis. Investors were wary of further dollar-selling intervention by Asian central banks, but they were more interested in selling emerging Asian currencies amid very little clarity of what measures will be taken by the European Union to resolve the region's two-year-old debt crisis.
Dollar/Philippine peso jumped as investors rushed to cover short positions and on fixing-related demand. The pair hit a record high of 53.75 for a third straight session as capital outflows picked up on concerns about a sharp slowdown in India's domestic growth.
The won may suffer more slide than other emerging Asian currencies as South Korea has similar problems to India in terms of a heavy short-term foreign debt load and dependence on European bank financing, some analysts said. US dollar/Singapore dollar hovered around the 76.4 percent Fibonacci retracement of its decline between late November and early December.
If the pair the retracement of 1.3060 versus the greenback, it may head to the next resistance at 1.3151, the high on November 25. After the resistance, it is seen testing 1.3200. There is talk of intervention at 1.3080, while a few dealers said they have not spotted such intervention.