Tuesday, July 17, 2007

Australian Dollar Snaps 4-Day Rally, Retreating From 18-Year High

(Bloomberg) -- The Australian dollar snapped a
four-day rally to an 18-year high on speculation traders betting
the central bank will raise interest rates won't add to holdings.

The currency has surged 4.5 percent in the past month as
interest-rate futures show speculators have fully priced in that
the Reserve Bank of Australia will lift borrowing costs by year-
end. Traders have increased bets on the Australian dollar,
figures on July 13 by the Washington-based Commodity Futures
Trading Commission show. It slid the most in a week today.


Read more at Bloomberg Currencies News

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