The Swedish krona advanced its yearly low levels against the U.S. dollar today as the countrys central bank surprised the market participants with the biggest rate cut in the last 16 years to prevent the economy from contracting. The official repo rate was reduced from 3.75 percent to 2 percent by 175 basis points today. It exceeded the traders expectations that were aimed on 1 percent cut. The Riksbank … “Swedish Krona Near 5-Year Low on Rate Cut”
Month: December 2008
Euro Near Weekly Lows before Rate Decision
The euro declined today against the U.S. dollar, almost snapping the yesterdays gain, as the traders expect the weak data on the Eurozone retail sales after PMI shrank in the leading Eurozone economies. The European currency came close to the lowest level in the last two weeks against the dollar and the lowest in the month against the yen. As the macroeconomic indicators … “Euro Near Weekly Lows before Rate Decision”
Pound Loses for Third Day Despite Correction
The U.K. pound continued to fall against the U.S. dollar and the Japanese yen today, despite the correction seen in some other dollar- and yen-based currency pairs, as the traders expect a major rate cut by the Bank of England. Traders bet that the Bank of England will have to cut the interest rate by 100 basis points down to 2.00 percent on December 4th to protect economy from … “Pound Loses for Third Day Despite Correction”
Chinese Yuan Depreciates to July’s Levels
The Chinese yuan fell to the weakest level since August today as the countrys government continued to manipulate its currency before the scheduled meeting with the U. S. Treasury Secretary. The reference rate, set by the Peoples Bank of China, allows 0.5 percent deviation in the either side during the daily yuan trading session. Today the rate was set to the lowest level since August 2008 and the … “Chinese Yuan Depreciates to July’s Levels”