Won, Singapore dollar off lows

The South Korean won and the Singapore dollar recovered most of their earlier falls as short-term investors added exposure to emerging Asian currencies on rebounds in stocks and the euro. Interbank speculators reduced dollar positions, helping the Asian currencies recoup falls as the Chinese yuan rebounded with Beijing-controlled banks unloading greenbacks.
Investors remained sceptical over the eurozone's efforts to prevent the debt crisis from spreading into the continent's banks after Slovakia rejected expansion of a rescue fund. Slovakia's rejection of an expanded European rescue fund soured sentiment further and pushed down the regional units.
They also came under pressure from speculation that China may slow its currency appreciation amid increasing conflict between the US and China over the yuan. But the euro rose and the yuan rebounded in late Asian trade, helping emerging Asian units, with some such as the ringgit rebounding.
South Korean exporters bought the won taking advantage of its earlier loss, prompting stop-loss dollar sales. The South Korean currency earlier weakened to 1,177.8 as offshore funds covered dollar-short positions and interbank speculators built up long positions. The Philippine peso turned slightly higher on the euro's rise after falling on local corporate dollar demand.
The market gave attention to the central bank's comments on policy easing. The central bank governor said it will study Indonesia's rate cut when it reviews policy next week, though officials indicated they have options to a rate cut for encouraging growth.