Asian currencies were mostly firmer on Tuesday, as easing lockdowns in some parts of the world offset worries about rising tensions between China and the United States.

Meanwhile, investors await the outcome of a policy meeting by Bank Negara Malaysia (BNM) later on Tuesday where it is expected to cut rates by 50 basis points, its biggest cut since the global financial crisis.

The Southeast Asian economy has been hit with a double whammy of a slump in oil prices and disruptions caused by virus-driven curbs.

The ringgit firmed about 0.2% ahead of the decision. The Taiwan dollar was the best performer among emerging Asian currencies gaining 0.3%, while the Singapore dollar and the Philippine peso rose 0.2% and 0.3%, respectively.

Elsewhere, the Indonesian rupiah weakened as much as 0.3% after Southeast Asia's largest economy recorded its weakest economic growth in nearly two decades in the first quarter.

The Thai baht weakened marginally after April consumer prices fell 2.99% from a year earlier, well below expectations, to mark its biggest decline in more than a decade. A Reuters poll had forecast a 1.20% drop in prices. Financial markets in China and South Korea were closed for a holiday.

Copyright Reuters, 2020

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