Sunday, July 8, 2007

Asia's Currencies Strengthen as Demand for Riskier Assets May Increase

(Bloomberg) -- Asian currencies, including the Thai
baht and the Malaysian ringgit, strengthened on speculation signs
of improving global growth will encourage investors to put money
in riskier emerging-market assets.

Seven of the 10 most-active Asian currencies, excluding the
yen, also gained today as rising regional equities may attract
more funds into the region. Taiwan's dollar and the yen, used as
funding currencies for the so-called carry trade, declined as
investors borrow them to buy higher-yielding assets elsewhere.


Read more at Bloomberg Currencies News

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