Asian currencies, with the exception of the Chinese Yuan and Japanese Yen, have notched stellar performances this year. The currencies of Thailand, Malaysia, Singapore, South Korea, to name but a few, have experienced double-digit increases (in percentage terms) against the Dollar. Worried about the impact of a rising currency on export growth, Asian central banks are in the process of intervening in forex markets. Singapore, which uses currency manipulation as a form of monetary policy, believed to have already made purchases of US government bonds in order to depress the Singapore Dollar. South Korea, as well, has a history of forex intervention, albeit unsuccessful intervention, and may issue currency stabilization bonds before year-end. The Gulf Daily News reports:
The Bank of Korea has repeatedly stated that it would closely monitor currency markets, expressing concern about the level of the won and money supply growth.
Read More: Asian banks calm currency surge
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