April 30, 2020 / 6:06 AM / 2 months ago

EM ASIA FX-Indonesian rupiah jumps about 3% on higher bond inflows expectation

    * Indonesian rupiah poised for fourth weekly gain
    * Indian rupee up for week after 4 weeks of losses
    * Higher oil prices lift Malaysian ringgit

 (Adds text, updates prices)
    By Shreya Mariam Job
    April 30 (Reuters) - The Indonesian rupiah rose nearly 3% on
Thursday on expectation of a pickup in bond inflows, while most
other Asian units also firmed ahead of a long weekend as
investors cheered promising early trial results of an
experimental COVID-19 treatment.
    The top U.S. infectious disease official said Gilead
Sciences Inc's remdesivir will become the standard of
care for COVID-19 after early clinical trial results showed it
helped patients recover more quickly from the illness caused by
the coronavirus.
    Asian currencies also found support in a weaker greenback
after the U.S. Federal Reserve on Wednesday left the door open
to more monetary easing.
    The Indian rupee firmed 1% and was set for a weekly
gain after four weeks of losses. 
    The country recorded its 1,000th novel coronavirus death but
the head of a government think-tank said on Wednesday that it
was not experiencing the feared exponential surge in infections.

    The Malaysian ringgit was supported by a 10% rise in
oil prices on signs that the U.S. crude glut is not growing as
quickly as expected.
    Meanwhile, financial markets in South Korea were closed for
a holiday. Most emerging Asian foreign exchange markets will be
closed on Friday for Labour Day.
    The rupiah hit its strongest level since mid-March,
appreciating beyond the 15,000 level that the central bank had
said earlier this month it would return to, and was poised for
its fourth straight weekly gain.
    "The IDR is seeing gains on improved risk appetite, with
markets anticipating a pickup in bond inflows," said Wei-Liang
Chang, macro strategist FX and Credit at DBS. 
    Indonesia raised 11.38 trillion rupiah ($760.19 million) at
a greenshoe option bond auction on Wednesday.
    It will sell 856.8 trillion rupiah worth of bonds in the
second quarter through to the end of the year to cover for its
widening budget deficit, Finance Minister Sri Mulyani Indrawati
    Meanwhile, some parts of the country are also easing social
distancing restrictions allowing some factories to reopen.


  Change on the day at                              
        0523 GMT                              
  Currency              Latest bid  Previous     Pct
                                         day    Move
  Japan yen             106.520        106.7   +0.17
  Sing dlr              1.410         1.4115   +0.11
  Taiwan dlr            29.830        29.951   +0.41
  Baht                  32.320         32.36   +0.12
  Peso                  50.440         50.32   -0.24
  Rupiah                14835.000      15260   +2.86
  Rupee                 74.930         75.69   +1.01
  Ringgit               4.310          4.341   +0.72
  Yuan                  7.054         7.0765   +0.32
  Change so far in                                  
  Currency              Latest bid  End 2019     Pct
  Japan yen             106.520       108.61   +1.96
  Sing dlr              1.410         1.3444   -4.65
  Taiwan dlr            29.830        30.106   +0.93
  Korean won            1218.200     1156.40   -5.07
  Baht                  32.320         29.91   -7.46
  Peso                  50.440         50.65   +0.42
  Rupiah                14835.000      13880   -6.44
  Rupee                 74.930         71.38   -4.74
  Ringgit               4.310         4.0890   -5.13
  Yuan                  7.054         6.9632   -1.29

($1 = 14,970.0000 rupiah)

 (Reporting by Shreya Mariam Job in Bengaluru; Editing by
Subhranshu Sahu)
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