As the US-China tariffs dispute intensified, fueling global risk aversion, the Taiwanese dollar and the Chinese yuan fell on Tuesday, leading declines among Asia’s emerging currencies.

Asian stocks were hit hard and sovereign bonds were strengthened by the growing risk aversion.

Bucking the regional trend, the Philippine peso rebounded from its lowest level since 2006 after the central bank said it was ready to raise rates and address currency volatility.

The near-term outlook for emerging Asian currencies looks fragile  as the US-China trade war impacts on a region that relies heavily on exports, say analysts.