Thursday, April 19, 2007

Taiwan Dollar Declines, Set for Second Weekly Drop as Carry Trades Resume

(Bloomberg) -- The Taiwan dollar fell, heading for a second weekly drop, on speculation investors resumed so-called carry trades, selling the currency to buy higher-yielding assets.

A record high close in the Dow Jones Industrial Average of U.S. shares boosted investor confidence in so-called carry trades. Traders yesterday bought back the yen and the Taiwan dollar after China's equities plunged, triggering a sell-off in Asian and European share markets.


Read more at Bloomberg Currencies News

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