tw dlr 0410 /+12.2 /33.795/645

16:32 10Apr09 RTRS-Taiwan dollar down on central bank intervention * Central bank steers market towards weakening bias * Stock gains provide support * Trade thin due to holiday in parts of Asia (Adds closing prices, quotes) TAIPEI, April 10 (Reuters) - The Taiwan dollar weakened on Friday as the central bank bought U.S. dollars, prompting many dealers to follow suit, though trade was thin due to the Easter break in some Asian economies. The Taiwan dollar ended weaker at T$33.795 to the U.S. dollar from the previous close of T$33.777. It hit as low as T$33.940 just after trade opened as the central bank tried to steer the market towards a weakening bias. Trade was quiet on the main Taipei Forex Inc exchange with volumes at $645 million, half of Thursday's $1.278 billion. "The central bank guided the Taiwan dollar lower today, with most players buying U.S. dollars," said a dealer in Taipei. The central bank, which keeps the Taiwan dollar in a managed float, has been buying U.S. dollars in the market actively over the past few months to ensure the local currency trends lower to help the island's exporters reeling from a global downturn. Foreign institutions bought a net T$12.162 billion ($360 million) in Taiwan stocks <.TWII>, which rose 2.0 percent on Friday, with dealers saying that that translated into some fund inflows during the session. Six-month NDFs were quoted at -0.440/-0.390, compared with -0.450/-0.400 the previous session, indicating that the market expects the Taiwan dollar to strengthen by a smaller degree in half a year. On the smaller Cosmos exchange , the Taiwan dollar fell slightly to T$33.785 to the U.S. dollar from the previous close of T$33.775. (Reporting by Yvette Chen and Lee Chyen Yee) ((chyenyee.lee@thomsonreuters.com; +886 2 2508-0815; Reuters Messaging: chyenyee.lee.reuters.com@reuters.net)) ((If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com)) Keywords: MARKETS TAIWAN CURRENCY/
For Related News, Double Click on one of these codes:[M] [T] [Z] [MF] [RNP] [DNP] [PTD] [PMF] [TW] [ASIA] [FRX] [EMRG] [LEN] [RTRS] [TWD/] [TWD=TP] For Relevant Price Information, Double Click on one of these codes: Friday, 10 April 2009 16:32:13RTRS [nTP335358] {EN}ENDS