TAIPEI (XFN-ASIA) - Central bank governor Perng Fai-nan has assured
lawmakers that the bank will ensure an orderly forex market, according to a bank
official.
"Our governor told parliament that the central bank is committed to keeping
market order, reiterating our long-standing stance," the official said.
Perng did not specify what measures the central bank may take, but his
comments come in the wake of the local unit hitting over 10-year high against
the US currency.
The Taiwan dollar today closed at 30.229 against the US unit, after moving
between 30.185 and 30.530. Turnover was heavy at 5.00 bln usd.
The local currency ended at 30.550 in the previous session.
Today's closing level marks the unit's highest level since October 22, 1997
when it ended at 30.211.
Dealers attributed today's currency gain to increased capital inflows as
local equities are expected to rise further following the victory of opposition
candidate Ma Ying-jeou in the presidential election.
Kuomintang party's Ma won Saturday's vote on a campaign to improve Taiwan's
economic ties with mainland China.
The stock market's weighted index today closed up 340.36 points or 3.99 pct
at 8,865.35 as investors cheered the election outcome.
adela.lin@afxasia.com
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xfnal/xfnrc
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