US dollar closes up on local forex due to central intervention
CNATAIPEI--The U.S. dollar rose against the Taiwan dollar Wednesday, gaining NT$0.005 to close at the day's high of NT$29.640 as the local central bank's continued intervention helped the greenback recoup its earlier losses, dealers said.
December 12, 2013, 12:05 am TWN
The greenback opened at NT$29.635 and moved to a low of NT$29.550 before rebounding. Turnover totaled US$615 million during the trading session.
The U.S. dollar opened unchanged, but downward pressure set in to drag the currency into the red as traders took cues from further institutional buying in the local market, which boosted demand for the Taiwan dollar, the dealers said.
The strength of the Chinese yuan against the U.S. dollar also sparked selling in the U.S. dollar in the local foreign exchange market after the People's Bank of China further raised the reference rate of the yuan in exchange for the greenback, the dealers said.
A higher Japanese yen and a rising South Korean won, which hit a two-year high amid improved sentiment toward the country's economy on a lower jobless rate for November, added downward pressure on the U.S. dollar in the local market.