Colombia's Peso Weakens Sixth Day, Bonds Decline on U.S. Subprime Concerns

(Bloomberg) -- Colombia's peso weakened for a sixth
day and local government bonds declined as concern about losses
in the U.S. subprime market led investors to shun riskier,
emerging-market assets.

``Worries about the mortgage market shows how a shift in
external conditions reverses the peso's rally,'' said Alvaro
Camaro, head analyst at Stanford Financial Group's unit in
Bogota. ``Some local investors will likely begin investing in
dollars, taking advantage of a still strong peso.''


Read more at Bloomberg Currencies News

Colombia's President Uribe Doesn't See Risk That Economy Is Overheating

(Bloomberg) -- Colombia's President Alvaro
Uribe said he'll stay the course on economic policy after first
quarter growth last week exceeded expectations at a time
inflation is surging ahead of central bank targets.

``We do not fear the possibility that our economy will be
overheated,'' Uribe, 54, said in an interview. ``We need a high
rate of economic growth for the long term. This is the only way
for us to overcome poverty, to create high quality jobs.''


Read more at Bloomberg Emerging Markets News

UPDATE 1-Colombia cenbank says raises key rate to 9 pct

(Reuters) - It was the seventh consecutive month that the bank raised
rates to curb inflation to within its targeted 2007 range of 4
percent plus or minus 0.5 percent. Colombian inflation was 4.48
percent in 2006.




Earlier on Friday the government revised its 2007 economic
growth estimate up to 5.8 percent from 5.5 percent. Gross
domestic product expanded by 6.8 percent last year, its best
performance since 1978.


Read more at Reuters.com Bonds News