*

S.Korean won jumps to over three-week high

*

Soft dollar pushes Asia FX higher

*

Asian share markets fall amid rate-cut woes

(Updates as at 0701 GMT)

By Rajasik Mukherjee and Roushni Nair

Feb 20 (Reuters) - The Thai baht and the Malaysian

ringgit led most Asian currencies higher on Thursday, as the

dollar eased after a two-session rally, although fears of U.S.

President Donald Trump's tariffs kept gains in check.

Trump said on Wednesday that he will announce tariffs

related to imports of timber, cars, semiconductors and

pharmaceuticals "over the next month or sooner".

A trade dispute between the U.S. and its major partners,

particularly China, Southeast Asia's largest trading partner,

could negatively impact economic growth and markets, prompting

investors to factor this risk into their portfolios.

The Thai baht and the ringgit rose 0.3%

each, while the won advanced 0.3% to its highest

point since January 24.

The U.S. dollar index, which tracks the currency

against six major counterparts, fell marginally by 0.2% to

106.97 after rising in the past two sessions.

Equity markets in the region declined following the release

of minutes on Wednesday from the U.S. Federal Reserve's January

28-29 policy meeting, which revealed officials' concerns over

the inflationary effects of Trump's policies.

Thai stocks, the worst performers in the region so

far this year, lost 0.5%.

Shares in Philippines dropped nearly 1%, with

property developer Ayala Land leading declines.

Malaysian stocks inched 0.4% lower, while those in

Singapore and Indonesia traded flat.

After an unexpected 25 basis-point rate reduction in

January, Bank Indonesia (BI) held rates steady as anticipated,

while signalling the possibility of further rate cuts.

"We maintain our view that monetary policy is likely to do

more of the heavy lifting in supporting growth this year as the

government's focus remains on fiscal consolidation," Radhika

Rao, a senior economist with DBS Bank, said in a note.

The Indonesian rupiah depreciated as much as 0.2%

earlier in the day but is currently trading flat. One of the

region's worst performers, the currency is set to fall for a

third straight session.

DBS expects BI to cut rates by at least 50 bps in the first

half of 2025, with the timing dependent on rupiah movements and

Fed actions amid signs of stalled disinflation.

Elsewhere, Vietnam's parliament approved raising its 2025

growth target, while providing support to major infrastructure

projects.

The country's benchmark stock index gained as much as

0.5% to hit its highest level since October 14, while the local

currency, dong, traded nearly flat.

HIGHLIGHTS:

** BOJ to raise rates once more this year to 0.75%, most

likely in Q3

** Malaysia's January exports rise 0.3% y/y, below forecast

Asian stocks and currencies as of 0701 GMT

COUNTRY FX RIC FX FX INDEX STOCKS STOCKS

DAILY YTD % DAILY % YTD %

%

Japan +0.96 +4.77 China >

India +0.26 -1.28 Indonesia -0.06 -1.53 Malaysia +0.20 +0.88 Philippin +0.22 +0.17 -0.94 -7.14

es

S.Korea >

Singapore +0.22 +1.93 -0.16 3.70

Taiwan -0.14 -0.04 Thailand +0.31 +2.07