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Weaker US dollar pushes Asia FX higher

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Thai stocks hit lowest since 2020

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Singapore stocks at record high after government plan

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Wall Street rout drag Asian equities lower

By Rajasik Mukherjee and Roushni Nair

Feb 24 (Reuters) - Asian currencies rose to multi-week

highs on Monday after risk sentiment improved as U.S. President

Donald Trump's tariff threats were deemed largely rhetorical,

while Singapore stocks hit a record high despite losses in other

share markets.

The South Korean won led the rally, adding as

much as 0.7%, its highest since December 6. The Malaysian

ringgit followed suit, appreciating 0.5% to its highest

level since January 31. The Singapore dollar and

Thailand's baht also gained 0.3% each.

The MSCI index of emerging market currencies

rose by up to 0.13%, reaching its highest level in more than

three months.

However, the U.S. dollar began the week on a negative

note, declining 0.4% to its lowest since December 10.

The greenback has shed 3.4% since Trump postponed tariffs on

Canada and Mexico in early February, as traders interpreted his

tariff threats as primarily bluster, dampening enthusiasm for

fresh dollar holdings.

"I think the US Dollar has moderated because the Trump

administration is taking a slower and more considered approach

to trade restrictions," said Kyle Rodda, senior financial market

analyst at Capital.com.

The market on Monday is likely to be mildly positive toward

emerging Asia, said Poon Panichpibool, a markets strategist at

Krung Thai Bank. But caution is warranted as March approaches

given ongoing uncertainties about Trump's delayed tariffs on

Canada and Mexico and Russia-Ukraine peace talks, he added.

Regional equities suffered losses, with those in Thailand

and India retreating more than 1% each, while

shares in Indonesia and Malaysia declined nearly

1% each.

"The risk-off sentiment in the US market on Friday may weigh

on EM Asia equities, although Hong Kong's market is likely to be

buoyed by Chinese tech giants, particularly after Alibaba's

impressive earnings results," Panichpibool said.

Shares in Singapore, however, rose 0.6% to a record

high of 3951.6 points, following the Singaporean government's

plans to invigorate its equities market, including a S$5 billion

($3.75 billion) programme that focuses on investing in domestic

stocks.

These initiatives, coupled with factors such as inexpensive

valuations and high dividend yields, led JPMorgan analysts to

upgrade Singapore equities to "overweight" last week.

A tech rout on Wall Street impacted the South Korean and

Taiwanese markets, with stocks in Seoul losing 0.6% and

shares in Taipei falling 0.9%.

Thai stocks were pulled down by property developer WHA

Corporation, the top loser on the benchmark, plunging

over 15% after announcing that Mobilix Company would acquire its

WHA Future Energy unit for 59.24 million baht ($1.77 million).

Later in the week, Thailand's central bank is expected to

maintain interest rates, mirroring its regional peers in the

Philippines and Indonesia. The Bank of Korea is widely

anticipated to implement a quarter-point rate cut on Tuesday.

HIGHLIGHTS:

** German election victor Merz plans pivot from US as

coalition talks loom

** Indonesia's Prabowo officially establishes new sovereign

wealth fund

** Stock market in Japan closed for a national holiday

Asian stocks and currencies as of 0451 GMT

COUNTRY FX RIC FX FX YTD INDEX STOCK STOCK

DAILY % S S YTD

% DAILY %

%

Japan +0.01 +5.30 - -

China India +0.03 -1.23 -1.00 -4.55

Indonesia -0.04 -1.32 -0.79 -4.67

Malaysia +0.48 +1.66 -0.66 -3.77

Philippine +0.12 +0.48 -0.42 -6.99

s

S.Korea Singapore +0.27 +2.47 0.31 4.08

Taiwan +0.09 +0.20 -0.59 2.41

Thailand +0.22 +2.53 -1.44 -12.2

8

($1 = 1.3345 Singapore dollars)

($1 = 33.4400 baht)