Multiple factors working against Taiwan dollar

Singapore

CAUGHT between China on the one side and the US on the other, Taiwan's dollar is in danger of greater losses than any other emerging-market currency in Asia.

Strategists see the central bank cutting interest rates to the lowest in the region outside Japan to combat a shrinking economy, just as the US Federal Reserve considers tightening monetary policy. Meanwhile, Taiwan's new president has antagonised its neighbour - and biggest export market - by refusing to affirm the "One China" principle. And falling sales at Apple Inc are also threatening to hurt some of the island's biggest exporters.