Currencies

Euro Declines From Five-Week High on Concern Greece Problem Is Unresolved The euro dropped from a five-week high versus the dollar after a spokesman for German Chancellor Angela Merkel’s party said Greece should go to the International Monetary Fund if it needs aid, damping the currency’s allure.

Senate Pressure May Force Obama to Take Stronger Stance on Yuan's Value The latest push by U.S. lawmakers to target China’s currency policy may force President Barack Obama to step up pressure for an increase in the yuan’s valuation, senators and analysts said.

Goldman Sachs Says Buy `Overvalued' BRIC Currencies as Growth to Fuel Gain The currencies of Brazil, Russia, India and China are poised to gain even as a model of long-term value suggests they’re too strong, according to Goldman Sachs Group Inc.

Mexico's Peso Advances to 16-Month High as Fed Pledges Low Interest Rates Mexico’s peso rose to the strongest level in 16 months as the U.S. Federal Reserve yesterday pledged to keep borrowing costs low, encouraging investors to buy higher-yielding assets in emerging markets.

Brazil's Real Gains Before Policy Makers May Raise Benchmark Interest Rate Brazil’s real rose for the first time this week before a monetary policy meeting in which analysts say the central bank may raise the benchmark lending rate for the first time in 18 months.

Canadian Currency Hits Highest Versus Greenback Since July 2008 on Risk Canada’s dollar reached its strongest level in almost 20 months versus its U.S. counterpart after the Federal Reserve said it would keep interest rates near zero, spurring demand for currencies tied to economic growth.

Colombian Peso Strengthens Most in Week as Fed Interest Rate Buoys Demand Colombia’s peso rose the most in a week after the Federal Reserve pledged to keep interest rates low, boosting demand for higher-yielding, emerging-market assets and amid higher prices of oil, the nation’s biggest export.

Feldstein Sees Greece Euro-Exit Pressure as Government Deficit Plan Fails Harvard University Professor Martin Feldstein, who warned almost two decades ago that the euro would prove an “economic liability,” said Greece’s austerity plan will fail and the country may quit the single currency to fix its fiscal crisis.

Norwegian Krone Climbs to 18-Month High on Oil Advance, Risk Appetite Norway’s krone climbed to the strongest level in 18 months versus the euro after an increase in the price of oil, the nation’s biggest export.

Pound May Extend Gain After Breaching Key Level as Shorts Unwind, BNP Says The U.K. pound may extend today’s gains against the dollar and the euro after it surpassed key levels, forcing traders who had bet on further declines to unwind their positions, according to analysts at BNP Paribas SA.