* Graphic: World FX rates tmsnrt.rs/2egbfVh * Graphic: Foreign flows into Asian stocks tmsnrt.rs/3f2vwbA * Possibility of Trump discharge settle some nerves * Taiwan Sept factory activity highest since March 2018 * Taiwan dollar firms 1% to highest since Aug. 2011 * S.Korean won, stocks also firm on factory survey By Rashmi Ashok Oct 5 (Reuters) - The Taiwan dollar and South Korean won gained on Monday after surveys showed factory activity recovering in both countries, while Asia's emerging markets drew strength from White House statements on U.S. President Donald Trump's health. Trump's doctors said overnight that he had responded well to treatment and could be discharged from hospital later in the day, helping stocks and other riskier asset markets recover some of Friday's knee-jerk losses. The Taiwan dollar was the region's best performer, climbing nearly 1% to its highest since Aug. 2011 after a private survey pointed to a strong recovery in its manufacturing sector in September, driven by solid export orders. The IHS Markit survey showed the Taiwan Manufacturing Purchasing Managers' Index at 55.2, way above the 50-mark threshold that separates contraction from growth, and at its highest level since March 2018. The Taiwan dollar has risen more than 4.3% this year and is the region's best performing currency after the Philippine peso. The country's electronics and chipmaking sector is seen as a beneficiary of U.S. restrictions on Chinese exports. The South Korean won firmed 0.6% and stocks rose nearly 1.5% after its own IHS Markit survey showed manufacturing activity shrank at the slowest pace in eight months in September. "September data was encouraging for the South Korean manufacturing sector as it neared stabilisation after a lengthy period of contraction," Shreeya Patel, Economist at IHS Markit, noted in the survey results. Investors on Friday rushed for the safety of the U.S. dollar , with concerns that a worsening of Trump's condition could add more uncertainty to an already fraught Nov. 3 U.S. presidential election. A settling of nerves around the U.S. president's health led to some positions being unwound on Monday, helping currencies across the region. IG strategist Jingyi Pan cautioned, however, that the week ahead could still be tense. "The fact of the matter remains that this heightened sensitivity towards the election developments could carry on for the week and month, one that may well see most Asia markets treading water." HIGHLIGHTS ** Indonesian 10-year benchmark yields were up 1.6 basis points at 6.937% while 3-year benchmark yields rose 35.1 basis points at 5.429% ** Top gainers on the Singapore STI included Jardine Matheson up 4.96% and Jardine Strategic Holdings up 3.18% ** Top gainers on FTSE Bursa Malaysia Kl Index included Top Glove Corporation up 1.94% and Axiata Group Bhd up 1.74% Asia stock indexes and currencies at 0359 GMT COUNTRY FX RIC FX FX INDEX STOCK STOCK DAILY YTD % S S YTD % DAILY % % Japan -0.17 +2.94 1.29 -1.39 India +0.00 -2.41 0.62 -5.59 Indones +0.07 -6.34 0.34 -21.5 ia 3 Malaysi +0.12 -1.64 0.11 -5.47 a Philipp +0.11 +4.59 -0.63 -23.7 ines 2 S.Korea +0.69 -0.44 1.17 7.17 Singapo +0.12 -1.30 0.59 -22.0 re 9 Taiwan +0.88 +4.27 0.12 4.44 Thailan +0.22 -5.08 0.69 -21.1 d 3 (Reporting by Rashmi Ashok in Bengaluru; editing by Patrick Graham and Richard Pullin)
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