EMERGING MARKETS-Mexican peso, Asian currencies drop as U.S. election tightens

    * Mexican peso, Chinese yuan slump on trade fears
    * Russian rouble takes heart from Trump gains
    * Asian shares gain as U.S. stock futures rise
    * Graphic: World FX rates
    * Graphic: Foreign flows into Asian stocks

    By Shriya Ramakrishnan
    Nov 4 (Reuters) - Mexico's peso and the Asian currencies
seen as most vulnerable to four more years of a Donald Trump
White House fell on Wednesday, while the Russian rouble gained,
as the latest voting tallies quashed bets of a clear victory for
Democrat Joe Biden.
    Both Trump and Biden claimed they were on course for victory
after results for a majority of states were called, with Trump
ahead in several mid-West swing states where final counts may
take days to emerge.
    The peso suffered in the first years of Trump's
presidency and Biden's lead in polls in the run-up to Tuesday's
voting had seen investors price in an easing of border tensions
and influx of direct investment under a new administration.
    The currency sank as much as 4% in overnight trade before
regaining some ground.
    Moves in China's tightly-controlled yuan were
more limited, but still showed a 0.4% loss as investors shifted
to expecting another four years of rising trade tariffs and
tensions between Washington and Beijing.
    The South Korean won and Singapore dollar
tracked that move, weakening 0.3% and 0.4% each. The rouble, by
contrast, gained around 0.2% in initial trade before flattening
    "FX markets had ... priced for a clean Biden win," said
Chris Turner, Global Head Of Markets with Dutch bank ING in
    "Instead, early news that Republicans had performed well in
Florida and that exit polls pointed to a much closer race than
had been expected have warned of a return of the Red Wave."

    Broad gains for the dollar amplified the move against
emerging markets seen as most exposed to trade and investment
issues, with South Africa's rand also under pressure. 
    Stock markets in Asia, however, held up, tracking gains in
U.S. futures that reflected the relative comfort of Wall Street
with the idea of Republicans holding onto the Senate and the
White House.
    Both Turkish and South African stocks
gained solidly in early trade.
    While Trump is widely seen by investors as having mishandled
the coronavirus crisis, his administration has also stoked a
decade-long rally in equities by cutting taxes on big
corporations and, until the last six months, keeping the jobs
market humming.
    The Philippine index topped gains in Asia, rising
about 2% to mark its biggest intraday percentage jump in more
than a week, with support from data that showed the country
posted its first monthly rise in exports since February.
    "Today's market movement seems to be pricing in a Trump
victory, which the market seems to interpret as a continuation
of the past four years' economic policies," said Manishi
Raychaudhuri, head of APAC equity research at BNP Paribas.
    "It's the Senate election outcome which may be more
important – and that also seems to be going in favour of
Republicans for now." 
    ** Thailand's 3-year benchmark yield is up 4 basis points at
    ** Top gainers on FTSE Bursa Malaysia Kl Index
include MISC Bhd up 2.74% at 6.76 ringgit, Sime Darby
Bhd up 2.55% at 2.41 ringgit, PETRONAS Chemicals Group
Bhd up ​ 1.69% at 6.02 ringgit. 
    ** In the Philippines, top index gainers are Bloomberry
Resorts Corp, up 7.05% at 7.9 peso; Jollibee Foods
Corp, up 6.02% at 185 peso, and Alliance Global Group
Inc, up 5.41% at 8.18 peso.
  Asia stock indexes and                                   
 currencies at   0656 GMT                            
                      DAILY  YTD %                S   YTD %
                          %                   DAILY  
 Japan                -0.43  +3.53             1.72    0.16
 China     <CNY=CFXS  -0.41  +3.86             0.23    7.49
 India                -0.37  -4.42             0.85   -2.09
 Indonesi             +0.34  -4.41            -0.54  -18.54
 Malaysia             -0.20  -1.77             0.56   -7.50
 Philippi             -0.11  +4.71             2.03  -17.29
 S.Korea   <KRW=KFTC  -0.32  +1.64             0.60    7.26
 Singapor             -0.40  -1.52             0.73  -21.95
 Taiwan               +0.98  +5.12             1.04    7.26
 Thailand             -0.32  -3.95             0.12  -22.60

 (Reporting by Shriya Ramakrishnan in Bengaluru; Editing by
Patrick Graham and Uttaresh.V)