* S. Korea extends FX market trading hours
* Won rises 0.4%
* Singapore stocks drop 1.3%

By Rishav Chatterjee
       Nov 8 (Reuters) - The won rose sharply on Wednesday
after South Korea said it would open currency markets to global
traders, bucking the trend among other Asian currencies which
tread water as investors digested comments by the Fed signalling
another U.S. rate hike.  
    The South Korean currency was the top gainer
among its peers, rising 0.4% against the U.S. dollar at 0342 GMT
after rising around 0.9% earlier in the day. Stocks in Seoul
fell 0.4%. 
    "The move by Korean authorities effectively removes some
barriers for entry for foreign investors, with the net result
likely to be greater liquidity and perhaps greater interest in
trading the Korean won," said Tim Waterer, market analyst at KCM
Trade.
    "There will now be less obstacles for offshore investors
when it comes to trading the won, which in theory makes the
currency a more enticing prospect to trade," added Waterer.
    The potential of another rate hike by the U.S. Federal
Reserve kept most other currencies mostly steady. The peso in
the Philippines and the Thai baht were barely
changed, rising 0.1% each.
    Fed policymakers on Tuesday maintained a balanced tone and
said they were weighing strong economic data and the impact of
higher long-term bond yields as they consider if they will need
to hike rates further to bring down inflation.
    "Broadly, after the post-NFP rally, Asian FX are likely to
settle into consolidative mode in the near-term," said Fiona
Lim, senior FX strategist at Maybank. Asian currencies and stock
markets had risen after last week's Fed board meeting and this
week's U.S. non-farm payrolls data (NFP).
    Major stock markets in emerging Asia also dropped as risk
sentiment took a dive after the recent rally  
    "I think we are seeing last week's relief rally settle down.
after U.S. data and a subsequently dovish Federal Reserve," said
Kyle Rodda, senior financial market analyst at capital.com. 
    "The marginal loosening of financial conditions was
especially beneficial for Asian markets, which are so sensitive
to higher rates and a stronger Dollar," added Rodda. 
    Rodda also flagged that China's growth outlook was still a
major headwind. Debt-laden municipalities represent a major risk
to the world's second-largest economy, economists say, amid
years of over-investment in infrastructure, huge bills to
contain the COVID-19 pandemic and a deepening property crisis.
    Equities in Singapore and Indonesia fell 1.3%
and 1.0% respectively, emerging as the top losers. Currencies in
both the countries were more or less muted in thin trading with
the Singapore dollar flat and Indonesian rupiah
rising 0.1%. 
    Markets in Thailand and Taiwan gained
slightly, rising 0.2% and 0.5% respectively.
    Thailand's main stock index has fallen about 15% so
far this year, with foreign investors selling about 175 billion
baht ($4.93 billion) of Thai shares.
    A survey conducted by a capital markets group showed
investor confidence in Thailand's stock market has hit a
five-month low on the back of capital outflows and the
Israel-Hamas conflict. 
        
    
  Asia stock indexes and                             
 currencies at 0342 GMT                         
 COUNTRY  FX RIC        FX     FX  INDE  STOCK  STOCK
                     DAILY  YTD %     X      S  S YTD
                         %               DAILY      %
                                             %  
 Japan               -0.08  -12.8  <.N2  0.18   23.89
                                6  25>          
 China                           EC>          
 India               +0.01  -0.64  <.NS   0.00   7.19
                                   EI>          
 Indones             +0.06  -0.32  <.JK  -0.95  -1.05
 ia                                SE>          
 Malaysi             +0.04  -5.70  <.KL  -0.28  -2.42
 a                                 SE>          
 Philipp             +0.10  -0.59  <.PS  -0.19  -6.80
 ines                              I>           
 S.Korea                         11>          
 Singapo             +0.01  -1.06  <.ST  -1.29  -3.65
 re                                I>           
 Taiwan              -0.01  -4.63  <.TW   0.47  18.57
                                   II>          
 Thailan             +0.10  -2.55  <.SE   0.21  -15.4
 d                                 TI>              3
 
    
    
    
    
    
    
    HIGHLIGHTS:    
    ** Philippines central bank ready to qact if needed despite
slower inflation 
    ** Singapore Airlines posts record half-year profit as air
travel demand soars
    ** Malaysia launches system to ease transactional data
management along palm oil supply chain
    


    
 (Reporting by Rishav Chatterjee in Bengaluru; editing by Miral
Fahmy)