Friday, June 22, 2007

Canadian Dollar Volatility Surges as Investors Buy Protection Amid Surge

(Bloomberg) -- Volatility on options for the
Canadian dollar is at the highest since January as investors use
the derivatives to protect against the greater-than-anticipated
rally against the U.S. currency.

Futures traders, who speculate on currencies, now hold
record bets Canada's currency will strengthen, a reversal from
record so-called net shorts in January, according to figures from
the Washington-based Commodity Futures Trading Commission.


Read more at Bloomberg Currencies News

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