SINGAPORE: The South Korean won eased on Thursday, but cut some of its losses after the central bank chief said effects from changes in the value of the won were more important than specific levels.

Bank of Korea Governor Lee Ju-yeol said changing interest rates in response to moves in the won may have unexpected results.

Lee also said a stronger won is negative on growth but positive on inflation.

Still, investors stayed cautious over possible intervention by the foreign authorities to stem appreciation in the second-best performing emerging Asian currency so far this year.

Most emerging Asian currencies held firm as the Chinese yuan gained despite a weaker midpoint set by the central bank, with investors welcoming Beijing's continued economic stimulus measures.

Thailand's baht rose as traders covered short positions as the currency found a chart support at 32.52 per dollar, a 100-day moving average.

Bank of Thailand Governor Prasarn Trairatvorakul said that the current policy rate level was already low and still supporting economic growth.

Copyright Reuters, 2014