* Baht weakens to over 1-year low
* Malaysia shares fall to over 1-month low
* Graphic: World FX rates tmsnrt.rs/2RBWI5E
* Asian stock markets: tmsnrt.rs/2zpUAr4
*
By Soumyajit Saha
June 24 (Reuters) - The Philippine peso inched lower on
Thursday, after the country's central bank kept its key policy
rate unchanged, while the baht extended losses to hit a 13-month
low as the Bank of Thailand promised further policy
accommodation.
The Bangko Sentral ng Pilipinas (BSP) kept the rate on its
overnight reverse repurchase facility at a record
low of 2.0% in line with expectations, as a resurgence of
coronavirus cases in some regions threatened the pace of
economic recovery.
"With price pressures fading and inflation set to slide back
within target... we expect BSP to extend its pause for the
balance of the year, with a possible rate hike by the middle of
next year," said Nicholas Mapa, a senior economist with Dutch
bank ING.
The peso can be expected to "remain pressured in the near
term on anxiety over the timing of the Fed taper," he added.
Philippine stocks ended about 0.5% lower.
Thailand's baht extended losses for a second session
in a row, after the central bank downgraded the tourism-reliant
country's 2021 economic growth forecast on Wednesday, while
sharply lowering its previous tourist estimates for this year.
Thai stocks dropped more than 1% in their biggest
fall in more than a month and the index's sixth consecutive
session of losses.
A return of thousands of pro-democracy protesters to the
streets calling for the resignation of Prime Minister Prayuth
Chan-ocha also added to the political uncertainty.
Malaysia's ringgit and Indonesia's rupiah also
weakened, tracking broader emerging assets that have come under
pressure as hawkish U.S. Federal Reserve signals propelled the
dollar to a 11-week high.
Malaysian stocks fell 0.5% to a more than one-month
low, while Indonesian shares receded 0.3%, as rising
coronavirus cases prompted financial hub Hong Kong to ban
flights from the country.
Bucking the overall gloom, the South Korean won
firmed 0.25% after the central bank said it expected upward
inflationary pressure on both demand and supply fronts,
reinforcing views that it was shifting to a less accommodative
monetary policy.
HIGHLIGHTS
** Thailand's 10-year government bond yields down 2 basis points
at 1.625%
** Singapore's 10-year benchmark yield up 3.1 basis points at
1.559%
Asia stock indexes and
currencies at 0816 GMT
COUNTRY FX RIC FX FX INDEX STOCK STOCKS
DAILY YTD % S YTD %
% DAILY
%
Japan +0.06 -6.88 0.00 5.21
China +0.02 +0.85 0.01 2.69
India +0.06 -1.56 0.63 12.91
Indonesia -0.03 -2.74 -0.37 0.55
Malaysia -0.10 -3.44 -0.50 -4.31
Philippines +0.10 -1.34 -0.47 -3.55
S.Korea +0.25 -4.29 0.30 14.36
Singapore +0.13 -1.73 0.00 9.67
Taiwan +0.01 +1.72 0.41 18.16
Thailand -0.16 -5.99 -0.78 8.99
(Reporting by Soumyajit Saha in Bengaluru; Editing by Rashmi
Aich)
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