Battered Indonesian rupiah, Malaysia ringgit stage strong rally

Singapore

ASIA'S worst performing currencies, the Indonesian rupiah and Malaysian ringgit, rallied strongly to multi-week highs on Wednesday, helped by the previous day's intervention by Indonesian authorities, robust Malaysian data and a heavy liquidation of positions.

By the close of Asian trading, the ringgit had risen nearly 5 per cent against the US dollar to levels around 4.16 per dollar. The rupiah had risen 7 per cent over two days to 13,700 per dollar. On Sept 29, both currencies had fallen to more than 17 years lows, striking levels unseen since the Asian financial crisis.

"Rupiah and ringgit rebounded the most because they are more oversold than other currencies in the region,"…