Currencies

Dollar Declines as Stock Gains Encourage Demand for Higher-Yielding Assets The dollar fell against the currencies of commodity-exporting nations including Australia and Brazil as stocks advanced, encouraging demand for assets that historically benefit as global growth rebounds.

Dollar Favorite Currency of Hedge Fund Managers, Real Second, Survey Says The U.S. dollar is the favorite currency of hedge-fund managers, with the Brazilian real a “distant second,” according to a survey by TrimTabs Investment Research and BarclayHedge.

Yuan Faces Pressure for Appreciation on China's Interest-Rate Gap, Yi Says The yuan is facing increased pressure to appreciate as a widening interest-rate differential spurs inflows of funds through "underground money shops," China’s top currency regulator said.

Canadian Dollar Trades Near Highest in Over Seven Weeks on Growth Outlook Canada’s dollar traded near its strongest level in over seven weeks as gains in stocks and persistent strength in commodity prices drove investors into currencies tied to economic growth.

Employers See Little Change in U.S. Second-Quarter Payrolls, Survey Shows The number of U.S. employers planning to keep staffing levels unchanged held at a record high for a second consecutive quarter, signaling sustained job creation will take time as the economy recovers, a private survey showed.

Dollar May Reach 8-Week High Versus Yen, Forecast Says: Technical Analysis The dollar may rise to an eight-week high of 92.30 yen after at least two gauges of daily momentum became positive, Forecast Pte said, citing trading patterns.

Chilean Peso Declines, Snaps Post-Quake Climb as Price of Copper Slumps Chile’s peso slid for the first time in six days as a slump in copper, the country’s biggest export, curbed a rally that was fueled by speculation the government would repatriate overseas savings to fund reconstruction after last month’s earthquake.

Dollar to Rise Versus Yen on Household Jobs Recovery, Bank of Tokyo Says The dollar will gain against the yen as U.S. employment recovers, repeating a pattern seen after the 2001 recession when a recovering U.S. economy drove hiring by smaller companies, says Bank of Tokyo-Mitsubishi UFJ Ltd.

Papandreou Will Press Obama to Support European Crackdown on Speculators Greek Prime Minister George Papandreou will press President Barack Obama to help Europe combat “unprincipled speculators,” who he said have roiled markets and threaten a new global financial crisis.

U.K. Pound Drops on Waning Housing Recovery, Fitch Budget Deficit Concern The pound fell, approaching the lowest level against the dollar in 10 months, as a report showed the U.K. housing recovery may be flagging and Fitch Ratings said Britain’s government needs to accelerate budget cuts.

Barker Sees `Grounds for Optimism' on Britain's Recovery as Risks Diminish Bank of England policy maker Kate Barker said she is optimistic that the U.K. economy is recovering and that it faces fewer threats than before.

U.K. Treasury Minister Myners Says Banks Haven't Learned Lesson From Crash U.K. Treasury Minister Paul Myners said banks haven’t learned their lessons from the credit crunch, arguing market discipline must go hand-in-hand with government action to restore public faith in financial institutions.