Canadian Dollar Grows on Improving Conjuncture

Canadian dollar rose this week again, after its sharp turn back from the long-term growth to the depreciation against the U.S. dollar. This growth was predated by the signs that the U.S. economy won’t be heading into recession soon. Canada is heavily relying on its commodities export and the possible weakening of its major consumer pressed significantly on the national currency. While the U.S. dollar was losing against all … “Canadian Dollar Grows on Improving Conjuncture”

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AUD, NZD Going for 5th Daily Gain

Today both the Australian and New Zealand dollars continued their daily growth against their counterpart from the United States on willingness of the Forex traders to earn from the interest rates difference. Two days ago Federal Reserve lowered its benchmark interest rate by 50 basis points to 3.00%, widening the gap between the record high interest rate in New Zealand. Australia remains one of those countries that may decide to rise … “AUD, NZD Going for 5th Daily Gain”

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Bahrain, Kuwait, Saudi Arabia Cut Interest Rates

GCC states — Bahrain, Kuwait and Saudi Arabia — decided to cut their deposit rates from 3.50% to 3.00% today, following the yesterday’s interest rate cut by the Federal Reserve. Based on the risk estimations for the economy recession and the recent negative macroeconomic statistics, FOMC cut the rate at its scheduled meeting yesterday from … “Bahrain, Kuwait, Saudi Arabia Cut Interest Rates”

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Russia May Stop Using Ruble to Fight Inflation

The Central Bank of the Russian Federation will probably stop intervening into the national currency market in order to strengthen the ruble against the U.S. dollar and hold down the growing inflation. This was stated by the Alexei Kudrin, Russian Minister of Finance, at the investment conference in Moscow today: In the coming three years we should move to an inflation targeting regime and a floating exchange … “Russia May Stop Using Ruble to Fight Inflation”

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Reserve Bank of India Holds Interest Rates

The majority of Forex traders expected that the Reserve Bank of India will lower the main interest rates today to pare with recent emergency cut by the Fed and the anticipated additional interest cut at tomorrow Fed’s meeting. But Yaga Venugopal Reddy, Governor of the Reserve Bank of India, decided to leave the key interest rates at the same level. The main repurchase rate was kept at 7.75% — one of the highest rate level in near six years; … “Reserve Bank of India Holds Interest Rates”

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Singapore Dollar Rises Before Fed Cut

The Singapore dollar rose today during the Asian Forex trading session as the market analysts expected the Federal Reserve of U.S. to lower the interest rate at the next meeting, widening the rates difference for these two currencies. Fundamental data report on the U.S. housing which came out yesterday strengthened the confidence of the investors that Fed will have to cut its overnight interest rate  by at least 50 basis points tomorrow. After the opening at 1.4204 … “Singapore Dollar Rises Before Fed Cut”

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India May Cut Rate to Reduce Gap with U.S.

Palaniappan Chidambaram, the Finance Minister of India, said yesterday that the latest emergency rate cut by the Fed will probably influence the next interest rate decision by the Reserve Bank of India. The difference between the Indian and U.S. interest rates, even before the last Fed’s cut, has been adding to the demand for the … “India May Cut Rate to Reduce Gap with U.S.”

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Euro Stronger after Business Climate Improves

Euro stood stronger against the U.S. dollar and the Japanese yen on Forex market after the Business Climate Index for January 2008 in Germany was released by the Ifo Institute for Economic Research today. EUR/USD climbed up 50 pips up from the today’s opening level, making it a third day in a row for euro … “Euro Stronger after Business Climate Improves”

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