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16:38 08May09 RTRS-Taiwan dollar firms on foreign funds, c.bank curbs * Taiwan dollar up on foreign fund inflows * Central bank curbs rise after dismal exports fall * Investors await U.S. jobs data (Adds details, quotes) TAIPEI, May 8 (Reuters) - The Taiwan dollar strengthened on Friday on the back of foreign fund inflows to the equity market, but its rise was kept in check by the central bank after disappointing April export figures. The Taiwan dollar rose to a high of T$33.005 during trade, but later pared some gains to end at T$33.040, still higher than the previous day's close of T$33.132. Volume on the main Taipei Forex Inc exchange was thin at $1.032 billion, lower than $1.33 billion in the previous session. "Taiwan's stock market didn't rise as much today as some investors thought it had somewhat overshot recently," said a dealer in Taipei. "Foreign funds are still actively buying, but in general, the pace has slowed." Foreign institutions bought a net T$4.86 billion ($147 million) worth of Taiwan stocks <.TWII> on Friday, less than Thursday's T$7.2 billion and just a fraction of the daily amounts seen earlier this week. A weaker Taiwan dollar means exporters are able to get more of the local currency for every U.S. dollar they hold, and also makes their exports cheaper in overseas markets. Taiwan's exports in April slid a much worse-than-expected 34.3 percent from a year earlier, logging an eighth straight annual drop and prompting the central bank to intervene in foreign exchange trading. [ID:nSP460845] Dealers said some investors had turned cautious ahead of U.S. employment data due later, choosing to stay on the sidelines for greater clarity before plunging into the market. On the smaller Cosmos exchange, the Taiwan dollar ended at T$33.010, stronger than Thursday's close of T$33.100. (Reporting by Lee Chyen Yee; Editing by Chris Lewis) ((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/
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