Wednesday, June 27, 2007

Taiwan's Dollar Declines as Investors May Seek Higher Returns Overseas

(Bloomberg) -- Taiwan's dollar weakened on
speculation investors resumed sales of the currency in search of
higher returns abroad through so-called carry trades.

The island's currency has fallen 0.7 percent this year
against the dollar, making it the fourth-worst performer among
the 16 most active currencies in the Asia-Pacific region.
Taiwan's key interest rate of 3.125 percent is the second-lowest
in Asia after Japan's 0.5 percent, encouraging investors to put
money abroad for better returns on their investment.


Read more at Bloomberg Currencies News

No comments: