EMERGING MARKETS-Indonesia's rupiah leads Asian currencies lower as U.S. Treasury yields rise

* Malaysia central bank decision due later * Malaysia expected to leave rates unchanged at 1.75% * Taiwan stocks fall 2%; China, South Korea down 1.6% By Nikhil Nainan March 4 (Reuters) - Indonesia's rupiah led other Asian emerging currencies lower on Thursday as the dollar was buoyed by higher U.S. Treasury yields, while stock markets in China, South Korea and Taiwan fell more than 1.5%. Global bond yields have risen in recent weeks, with markets concerned central bankers could tighten the monetary spigot as the global economy rebounds from the onslaught of the COVID-19 pandemic. That prospect has weighed on global stock markets. Stocks in Jakarta fell 0.8%, while in Manila and Bangkok they were down around half a percent. Equities in Taiwan, China and South Korea were the worst performers. Benchmark U.S. 10 year yields edged higher in Asia trade to 1.48%. That was off the one-year highs of 1.61% seen last week, when global stock markets sold off sharply. "While not quite reaching the recent high..., we think that inflation worries are getting entrenched," analysts at DBS said. But they said Asian markets were less vulnerable to global market volatility than they were in 2013, when bond investors threw a "tantrum" after hints the U.S. Federal Reserve might slow the money-printing presses. DBS analysts were recommending "extending Asian credit exposure on dips" as a result. Malaysia's ringgit dipped 0.1% ahead of a monetary policy meeting. Eleven of the 15 economists polled by Reuters expect the central bank to keep its key interest rate at 1.75%, with four forecasting a rate cut. Stocks in Kuala Lumpur were down 0.2%, while 10-year bond yields were little changed at 3.096%. Indonesia's rupiah - which backs some of the highest-yielding emerging market debt - fell 0.3%. China's annual parliamentary gathering will take place on Friday, with the government expected to set the country's macroeconomic policy targets at the meeting. HIGHLIGHTS: ** Indonesian 10-year benchmark yields up 4.39 basis points at 6.613% ** Malaysia's 3-year benchmark yield is up 1.5 basis points at 2.003% ** Singapore shares edged higher, led by Jardine Matheson Holdings Ltd and top bank DBS Group Holdings Ltd Asia stock indexes and currencies at 0347 GMT COUNTRY FX RIC FX FX INDEX STOCKS STOCKS DAILY % YTD % DAILY % YTD % Japan -0.07 -3.57 -1.88 5.69 China -0.04 +0.89 -1.58 1.36 India +0.00 +0.49 0.00 9.04 Indonesia -0.32 -1.72 -0.79 5.81 Malaysia -0.10 -0.81 -0.20 -2.58 Philippines -0.08 -1.13 -0.40 -3.15 S.Korea -0.57 -3.59 -1.62 5.55 Singapore -0.02 -0.88 0.30 5.82 Taiwan +1.61 +2.42 -2.01 7.83 Thailand -0.23 -1.35 -0.53 5.93 (Reporting by Nikhil Kurian Nainan in Bengaluru; Editing by Ana Nicolaci da Costa)