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EM ASIA FX-Asia FX slumps after BOJ policy overhaul; Fed signals eyed

* Weak yen hits Asia FX after BOJ changes policy framework
    * Asia bond yields up with JGB; cbanks policy woes remain

 (Adds text, updates prices)
    By Jongwoo Cheon
    SINGAPORE, Sept 21 (Reuters) - Most emerging Asian
currencies fell on Wednesday, taking their cue from the yen's
slide after the Bank of Japan overhauled its policy framework
and adopted a target for long-term interest rates.
    A rise in bond yields across Asia also dampened sentiment on
the regional currencies, with Japanese government bond yields up
after the BOJ said it would aim to guide the 10-year bond yield
to around zero percent as part of its revamped policy framework.
    Still, some traders and analysts said questions remained
about what the BOJ's latest move meant for asset markets, amid 
doubts over the effectiveness of further easings by global
central banks.
     "The question on 'did the BOJ actually ease?' remains. They
didn't increase bond purchase and didn't cut rates. I didn't see
any form of outright easing but an attempt to engineer a normal
upward sloping yield curve," said Christopher Wong, a senior FX
strategist for Maybank in Singapore.
     Beyond the BOJ, the focus remained on whether Fed Chair
Janet Yellen would provide clues on the timing of an interest
rate hike when the U.S. central bank concludes a two-day policy
meeting later in the day.
    The Fed is expected to keep interest rates on hold this week
but could signal an increased likelihood of a tightening by the
end of this year. 
    Maybank's Wong said emerging Asian currencies could stay
weaker, given expectations of tightening within this year. 
    "A ball is on the Fed's court now. Our house view remains
for the Fed to hike in December after the presidential election
and we still see moderate USD strength into the fourth quarter,"
he said.
    The ringgit lost as much as 0.5 percent to 4.1580 per
dollar, its weakest since June 2, tracking the yen's weakness.
    Currency traders hardly budged after data showed Malaysia's
consumer price rose 1.5 percent in August, more than expected.
    The Malaysian currency is seen weakening to the previous low
of 4.1720 after it faltered through chart support at 4.1500,
analysts said.
    South Korea's won gained by as much as 0.9 percent on
exporters' settlements, with data showing the country reported a
near $2 billion trade surplus in the first 20 days of this
    The won found further support as traders unwound some of the
bearish bets on expectations the Fed may keep interest rates
steady this week.
    But the currency pared most of the gains on the yen's
    Change on the day at 0630 GMT
  Currency                Latest bid   Previous day   Pct Move
  Japan yen                   102.59         101.71      -0.86
  Sing dlr                    1.3637         1.3619      -0.13
  Taiwan dlr                  31.434         31.367      -0.21
  Korean won                 1119.00        1120.60      +0.14
  Baht                         34.80          34.78      -0.06
  Peso                        47.880         47.845      -0.07
  Rupiah                       13155          13150      -0.04
  Rupee                        67.07          67.01      -0.09
  Ringgit                     4.1480         4.1370      -0.27
  Yuan                        6.6718         6.6715      -0.00
  Change so far in 2016                                       
  Currency                Latest bid  End prev year   Pct Move
  Japan yen                   102.59         120.30     +17.26
  Sing dlr                    1.3637         1.4177      +3.96
  Taiwan dlr                  31.434         33.066      +5.19
  Korean won                 1119.00        1172.50      +4.78
  Baht                         34.80          36.00      +3.44
  Peso                         47.88          47.06      -1.71
  Rupiah                       13155          13785      +4.79
  Rupee                        67.07          66.15      -1.37
  Ringgit                     4.1480         4.2935      +3.51
  Yuan                        6.6718         6.4936      -2.67
 (Reporting by Jongwoo Cheon; Additional reporting by Reuters FX
Analyst Krishna Kumar; Editing by)