Tuesday, July 31, 2007

Czech Koruna Posts Biggest Monthly Advance Versus Euro Since November 2005

(Bloomberg) -- The Czech koruna posted its biggest
monthly gain since November 2005 as risk-averse investors unwound
carry trades funded in the currency.

The currency snapped a three-month losing streak in July as
investors withdrew from these trades, which took advantage of the
Czech Republic's 3 percent interest rate to buy higher-yielding
assets elsewhere. The koruna was the second best-performer
against the euro this month, just beating the Japanese yen, which
has the lowest rates among industrialized countries.


Read more at Bloomberg Currencies News

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