Wednesday, June 27, 2007

Yen Gains the Most in 10 Weeks as Investors Scale Back Their Carry Trades

(Bloomberg) -- The yen rose the most in 10 weeks
against the euro and dollar as investors pared holdings of
emerging-market bonds and stocks funded by loans in the Japanese
currency.

Japan's yen gained against all 16 of the most-actively
traded currencies tracked by Bloomberg. The yen extended its
rally after global equity markets declined as investors shunned
riskier assets, prompting an unwinding of the so-called carry
trade. A U.S. report showed sales of durable goods, a proxy for
business spending, fell more than forecast.


Read more at Bloomberg Currencies News

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