Investors zero in on  Asian currency bargains


Sharp rise: People in front of the Taiwan Stock Exchange Corp headquarters in Taipei. The Taiwan dollar has surged as much as 4.8%, fuelled by speculation that the country may let its currency gain as it seeks a trade deal with the United States. — Bloomberg

SEOUL: After years of coming second to popular Latin American carry trades, Asian currencies are finding their cheapness has become an asset, as traders seek to capitalise on the US dollar’s eroding premium status.

Currencies like South Korea’s won, the Indonesian rupiah and the Indian rupee rank among the most undervalued in emerging markets (EMs) relative to their historic average, according to data compiled by Bloomberg.

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carry trade , South Korea , won , dollar

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