Taipei-The U.S. dollar rose against the Taiwan dollar Friday, gaining NT$0.003 to close at NT$30.010 in a quiet session as many foreign traders stayed away for the Thanksgiving holiday, dealers said.
The U.S. dollar recouped early losses to close in positive territory as local importers took advantage of a lower greenback to trade their Taiwan dollars for more U.S. dollars, they said.
The greenback opened at NT$29.999 on Friday, and moved between NT$29.984 and NT$30.012 before the close. Turnover totaled US$481 million during the trading session.
But even with Friday's slight gains, the U.S. dollar still fell NT$0.091, or 0.30 percent, against the Taiwan dollar for the week.
Soon after Taiwan's foreign exchange market opened on Friday, the greenback faced follow-through selling from a session earlier, and moved to the day's low below the NT$30 mark as traders here reacted to the strength of other currencies in the region, dealers said.
The gains posted by regional currencies came after the U.S. dollar index, which tracks the currencies of Washington's six major trading partners, continued to move lower, they said.
That led foreign investors to continue to park their money in non-U.S. dollar denominated assets and push regional currencies, including the Taiwan dollar, higher, dealers said.
The U.S. dollar regained its footing in the afternoon, however, as Taiwanese importers bought into the weaker greenback and currency traders reacted to foreign institutional investors shifting to the sell side on Taiwan's stock market on Friday, dealers said.
According to the Taiwan Stock Exchange, foreign institutional investors sold a net NT$3.08 billion (US$103 million) in shares on Friday, after a net buy of NT$1.75 billion seen on Thursday.
Source: Focus Taiwan News Channel