Taiwan Dollar Surges as US Dollar Weakens and Dividend Outflows Eases

Taiwan's currency has surged by 0.5% due to the weakening US dollar, making it the leading gainer among Asia's emerging market currencies.

This jump helped push MSCI's emerging market currency gauge up 0.2% to a new record high.

The Taiwan dollar has hit its strongest level in over six weeks as foreign investors' dividend-related outflows may be easing, according to HSBC.

A softer US dollar has contributed to the appreciation of the Taiwan dollar, as traders trim expectations for further Fed tightening following weaker US jobs and inflation data.