BENGALURU: Most Asian currencies edged lower on Tuesday while regional stocks were mixed as global markets awaited comments from the head of the US central bank to assess prospects of a rate cut in September.

Fed Chair Jerome Powell will appear before Congress later in the day, with investors hoping for dovish comments that will cement their bets that it will start to lower borrowing costs in a few months, giving a fresh leg up to riskier assets and economies.

Despite a softer US dollar, the Indonesian rupiah was down as much as 0.4% after four consecutive sessions of gains, while the Taiwanese dollar lost 0.2%.

The Thai baht inched 0.1% lower, while the Singapore dollar was largely flat.

The South Korean won and the Malaysian ringgit were largely unchanged. Interest rate decisions from both countries are due on Thursday.

Bank Negara Malaysia bank will keep its key policy rate on hold until at least 2026 as inflation looks set to pick up in the second half of this year, a Reuters poll showed.

Another poll showed that the Bank of Korea will hold rates on Thursday, but was expected to ease in the next quarter.

“Currency weakness will remain the key constraint for these central banks in thinking about cutting interest rates ahead of the Fed,” said Lloyd Chan, senior currency analyst at MUFG Bank.

On the other hand, the Philippine central bank has more scope to cut interest rates at its next meeting in August after annual inflation slowed in June, its Governor Eli Remolona said.

The next US inflation report, due on Thursday, could further bolster rate easing expectations. Markets are now pricing in a 80% chance of a cut in September, up from 64% last week.