tw dlr 0316

17:20 16Mar09 RTRS-Taiwan dollar up on funds, exporters; cbank curbs * Taiwan dollar gains on foreign fund inflows, exporters * Central bank buys U.S. dollars, curbs Taiwan currency gains * Dealers expect some resistance at T$34.3 this week TAIPEI, March 16 (Reuters) - The Taiwan dollar rose on Monday as the Group of 20 economies' efforts to address the global downturn boosted investors' demand for risk and on exporters selling of U.S. dollars. The Taiwan dollar rose to as high as T$34.391, shy of a three-week high of T$34.239 posted last week, before ending at T$34.416. It closed at T$34.495 on Friday. Volume on the main Taipei Forex Inc exchange was light $813 million, lower than $1.032 billion in the previous session. "Foreign fund inflows were quite active and exporters were also busy selling U.S. dollars," said a dealer in Taipei. "But importers' deals limited the gains in the Taiwan dollar and the central bank also tried to prevent the Taiwan dollar from strengthening past T$34.4," the dealer said. Over the weekend, the Group of 20 finance ministers promised money to help emerging market economies and said they would use fiscal and monetary means to combat the global economic crisis. [ID:nLE661847] Exporters who benefitted from some rush orders also sold U.S. dollars which propped up the Taiwan currency. "We saw slightly more exporters' deals lately because of the rush orders and they had more U.S. dollars to convert," said another dealer in Taipei. Taiwan's exporters fell 28.6 percent in February, but that decline was more gradual than January's record plunge as buyers restocked after depleting their inventory too quickly. [ID:nSP486505] The central bank has been capping the Taiwan dollar's gains as it prefers the local currency to trend lower gradually to help exporters during a global downturn. On the smaller Cosmos exchange , the Taiwan dollar rose to T$34.390 to the U.S. dollar from the previous close of T$34.475. (Reporting by Jeanny Kao and Lee Chyen Yee; Editing by Kazunori Takada) ((chyenyee.lee@thomsonreuters.com; +886 2 2508-0815; Reuters Messaging: chyenyee.lee.reuters.com@reuters.net)) Keywords: MARKETS TAIWAN CURRENCY/
For Related News, Double Click on one of these codes:[M] [T] [E] [D] [Z] [MF] [PSC] [RNP] [DNP] [PTD] [PMF] [TW] [ASIA] [FRX] [EMRG] [LEN] [RTRS] [TWD/] [TWD=TP] For Relevant Price Information, Double Click on one of these codes: Monday, 16 March 2009 17:20:24RTRS [nTP256985] {EN}ENDS