EMERGING MARKETS-Baht tracks best day in 2 weeks after PM survives confidence vote

  • 9/6/2021
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* Baht eyes best day in two weeks * Weaker dollar aids Asia FX * U.S. markets shut for Labour Day By Harish Sridharan Sept 6 (Reuters) - Thailand"s baht was on track for its best session in nearly two weeks on Monday after the country"s prime minister survived a confidence vote in parliament, while a weaker U.S. dollar also supported the currency. The baht, which has weakened more than 8% and is among the worst performing currencies in Southeast Asia this year, added as much as 0.9%. Prime Minister Prayuth Chan-ocha and five cabinet ministers comfortably survived a vote of no confidence in parliament on Saturday, though activists planned more protests against the government. Opposition lawmakers over four days accused his government of mishandling the pandemic and criticised him for the severe economic impact, taking aim at the government"s slow vaccine rollout. The country"s benchmark stock index traded marginally lower at 0414 GMT, and analysts at Maybank warned that "some downside risks to THB sentiments could come from the possibility of escalating pro-democracy protests." Meanwhile, Thailand"s commerce ministry said headline inflation unexpectedly dropped in August from a year earlier, mainly due to government subsidy measures. The greenback languished near a one-month low after a weaker-than-expected U.S payrolls report on Friday raised hopes that the U.S. central bank would retain its accommodative monetary policy for longer. Currencies across emerging Asian markets were mostly subdued though. The Taiwanese dollar shone, however, as it strengthened 0.4%. Equities across the region traded relatively mixed as U.S. markets were shut for Labour Day. Shares in Singapore and Taiwan gained, while those in Malaysia and the Philippines eased. Chinese equities added over 1%, with healthcare and consumer non-cyclical stocks leading the gains. HIGHLIGHTS ** Indonesian 10-year benchmark yields are down 2.8 basis points at 6.104% ** Top loser on FTSE Bursa Malaysia Kl Index was IOI Corporation Bhd, down 1.48% ** Zhongmin Energy Co Ltd top gainer on the Shanghai SE Composite Index Asia stock indexes and currencies at 0358 GMT COUNTRY FX RIC FX FX INDEX STOCKS STOCK DAILY YTD % DAILY S YTD % % % Japan -0.08 -5.99 1.65 6.14 China +0.06 +1.14 1.02 4.18 India +0.00 +0.07 0.44 24.44 Indonesia +0.14 -1.40 -0.15 2.32 Malaysia +0.02 -2.97 -0.49 -2.82 Philippines +0.06 -3.67 -0.39 -3.77 S.Korea -0.01 -6.13 -0.08 11.31 Singapore -0.04 -1.58 0.21 8.67 Taiwan +0.41 +3.24 0.18 19.11 Thailand +0.62 -7.56 -0.10 13.75 (Reporting by Harish Sridharan in Bengaluru; Editing by SImon Cameron-Moore)

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