Market rally spurs local currency to new height
By Ted Chen, The China PostTAIPEI, Taiwan -- The Taiwan Stock Exchange yesterday mounted a spirited rally, propelling the strength of the New Taiwan Dollar to new heights, trading at NT$29.721 against the dollar, gaining NT$0.121, or 0.41 percent.
September 17, 2013, 12:08 am TWN
Foreign exchange traders stated that following yesterday's 112-point gain, international institutional investors, including mainland Chinese entities, accumulated an influx of NT$13.354 billion into the Taiwan market, driving a surge in the local currency's strength. At the end of yesterday's session, the New Taiwan Dollar closed at NT$29.721 against the greenback, marking its highest point since May 10. The local currency saw its most pronounced rise toward the end of yesterday's session, gaining NT$0.2 in the final hours before the closing bell.
In the same period, the South Korean won recorded a six-year high over the past week of trading, trading at 1,082.2 won against the dollar, gaining 0.41 percent, as of 4 p.m. yesterday.
According to reports, the R.O.C. Central Bank initiated intervention measures during yesterday's trading, suppressing the rise of the New Taiwan Dollar by NT$0.07, with overall intraday currency trading volume among major firms exceeding US$1.221 billion.
Meanwhile, the strength of the greenback has been declining markedly following former U.S. Treasury Secretary Larry Summer's candidacy withdrawal from the race for the Federal Reserve chairmanship.