Deutsche Bank Cuts Dollar Forecast as Fed Keeps Rates Low
Deutsche Bank AG, the world’s largest currency trader, lowered its year-end forecast for the dollar versus the euro, citing the Federal Reserve’s pledge to keep interest rates low a long time.
The dollar, trading at $1.4217 per euro today, will strengthen to $1.30 by the end of December, Binky Chadha, Deutsche Bank’s chief strategist in New York, wrote in a research note to clients today. The Frankfurt-based bank had previously forecast the dollar will appreciate to $1.20. More
Obama: US-China relations to shape 21st century
resident Barack Obama, opening two days of high-level talks with China, said the discussions could lay the groundwork for a new era of “sustained cooperation, not confrontation” in a relationship likely to shape the 21st century.
Obama said that Washington and Beijing needed to forge closer ties to address a host of challenges from lifting the global economy out of a deep recession to nuclear proliferation and global climate change. More
Wobble over, FTSE makes the 11-day record
Choppy trading in silly summer volumes has seen the FTSE 100 nip into positive territory just in time for the close and achieve that record-matching 11-day winning streak.
Only just, however. The index closed up 9.5 points, or 0.2%, at 4,586.13. It has now enjoyed 11 straight sessions of gains since July 13 and is up 459 points, or 11%, over the course of that rally. More
Derivatives bill to clamp down on speculation
Congress will consider steps to curb speculation in the credit default swaps market and could ban naked swaps, according to a U.S. House of Representatives Committee document obtained by Reuters. More
U.S. new home sales rise sharply in June
Sales of new single-family homes in the United States rose more than expected in June, while the inventory of homes for sale fell to a more than 11-year low, government data showed on Monday.
Sales rose to an annual rate of 384,000 in June, the Commerce Department reported, up 11 percent from May, while the number of new homes still for sale fell to 281,000, the lowest since February 1998. More
