SINGAPORE -- The South Korean won led most Asian currencies higher against a broadly weaker dollar on Monday, but the Thai baht slipped to a two-week low due to renewed concerns about political uncertainty in the country.

Trading activity remained subdued with markets in the Philippines, Indonesia and Malaysia closed for holidays.

The won jumped more than 2.0 percent to 1,269.9 per dollar, its highest since Nov. 5, in a continuation of several months of volatility. But it later pulled back to 1,287 on fears about official intervention and as stocks slipped on concerns about a sharp slowdown in the economy.

Central bank data showed Korean consumer sentiment tumbled to a 10-year low in December as the deepening economic downturn chilled job markets and cut household incomes.

But many analysts still believe the won, which is down 27 percent against the dollar this year, would get some support from the country's current account balance, which is benefiting from a slump in global commodity prices.

The Singapore dollar gained 0.4 percent to 1.4412 per US dollar, firming in tandem with local stocks.

A trader in Singapore said she expected the local unit to range from 1.44 to 1.45 for the day in thin holiday trade.

The dollar fell across the board, suffering its biggest losses against the safe-haven Swiss franc after Israeli warplanes pounded the Hamas-ruled Gaza Strip for a third consecutive day.

"It's generally a weaker dollar tone in a range-bound trading environment," said Han Sia Yeo, currency strategist at Bank of America.

The Thai baht dropped to a two-week low of 35.10 per dollar due to dollar demand for month-end corporate settlements and heightened political tensions.

The maiden policy speech by Thai Prime Minister Abhisit Vejjajiva had to be delayed on Monday because hundreds of anti-government protesters blocked entrances to parliament.

"We still have month-end demand to support the dollar at the moment, and political risks as well," said a Bangkok-based trader, who expected the baht to move between 35 and 35.15 for the day.

The Chinese yuan eased a tad to 6.8469 per dollar but analysts expect the currency to be kept largely stable in the near term -- as concerns about a slowing economy are offset by a still solid balance of payments.

The yuan in six-month offshore non-deliverable forwards edged up to 6.97 per dollar, implying a fall of 1.7 percent from Monday's spot rate.