* Indonesian rupiah drops as much as 0.5%
* Hawkish comments from Fed supports dollar
* Philippine c.bank seen holding interest rate - Reuters
poll

By Rajasik  Mukherjee
       June 26 (Reuters) - The Indonesian rupiah had its
biggest daily fall in more than a week on Wednesday, trading
near four-year lows as the U.S. Federal Reserve's
higher-for-longer stance on monetary policy and a slew of
domestic factors pressured the currency.
    Most other emerging Asian currencies were also under
pressure against the dollar as a hawkish Fed drags on
risk-sensitive Asian assets. Investors now await U.S. price data
at the end of the week for any change to the rate-cut outlook.
    The U.S. dollar index, which measures the greenback
against a basket of major currencies, was trading slightly
higher at 105.660 during early Asian hours, ahead of key
inflation print due later in the week.
    A higher U.S. interest rate environment supports the dollar,
which in turn pressures emerging market assets.
    Back in Southeast Asia, the Indonesian rupiah fell as much
as 0.5% to 16,445.0 per dollar, hovering around its lowest level
since April 2020. The rupiah is also facing pressures from
higher foreign exchange demand from domestic companies and
uncertainty related to the country's fiscal plans.
    "Near term, IDR could face further downward pressure. A move
towards the COVID-low of 16,625 vs the dollar cannot be ruled
out," said Christopher Wong, FX Strategist at OCBC.
    "Comments (last week) about IDR fundamental value below
16,000, recent worries about domestic fiscal plans and broad
softness in Asian FX complex have further added to IDR
softness."
    The South Korean won shed 0.2%. Bank of Korea
flagged possible downward pressure on the won, but assured the
market they would fine tune risk monitoring factors to stabilise
the market as needed.
    The Taiwanese dollar lost 0.3% while Taiwanese
stocks soared on the U.S. tech rally led by Nvidia
 overnight.
    The Philippine peso traded flat ahead of its central
bank's monetary policy meeting where interest rates are expected
to remain unchanged, a Reuters Poll showed.
    "The BSP (Bangko Sentral ng Pilipinas) ... is likely to stay
on hold although we look out for any further hints of
dovishness, which can risk adding to pressure to the PHP,"
analysts at Maybank wrote.
    Elsewhere in the region, the Thai baht lost 0.2%
while Thai stocks gained 0.2%. Stocks in Jakarta
rose as much as 0.8%.
    Among other emerging markets, the Mexian peso was
trading largely flat during Asian hours ahead of a central bank
meeting.
        

    HIGHLIGHTS:    
    ** Indonesian 10-year benchmark yields rise to 7.097%
    ** Steady dollar sends yen to the brink of 160
    ** BUZZ-Falling yuan may tip Asian currencies over the edge
    
 Asia stock indexes and                              
 currencies at 0351 GMT                         
 COUNTRY  FX RIC        FX     FX  INDE  STOCK  STOCK
                     DAILY  YTD %     X      S  S YTD
                         %               DAILY      %
                                             %  
 Japan               -0.08  -11.7  <.N2  +1.44  +18.7
                                4  25>     %     5%
 China                           EC>          
 India                0.00  -0.27  <.NS   0.00   9.16
                                   EI>          
 Indones             -0.30  -6.24  <.JK   0.54  -4.85
 ia                                SE>          
 Malaysi             -0.11  -2.51  <.KL   0.18   9.18
 a                                 SE>          
 Philipp             -0.06  -5.79  <.PS  -0.12  -2.46
 ines                              I>           
 S.Korea                         11>          
 Singapo             -0.01  -2.62  <.ST  -0.07   2.58
 re                                I>           
 Taiwan              -0.26  -5.51  <.TW   0.24  27.88
                                   II>          
 Thailan             -0.24  -7.08  <.SE  -0.03  -6.85
 d                                 TI>          
 

    
 (Reporting by Rajasik Mukherjee in Bengaluru; Editing by
Stephen Coates)