Currencies

Yen Depreciates Against Higher-Yielding Currencies as Chinese Exports Rise The yen declined against all of its major counterparts after a report showed that Chinese exports rose the most in three years, renewing investor demand for higher-yielding assets.

Bank of America Cuts Yen Forecast, Citing Kan's `Resolve' to Temper Gains Bank of America-Merrill Lynch cut its forecasts for the yen, saying Japanese Finance Minister Naoto Kan has a “stronger resolve” to temper gains in the currency than did his predecessor.

Dollar Optimism Soars to Highest Since 2008 as Economic Outlook Rebound Investors are the most bullish on the dollar since the collapse of Lehman Brothers Holdings Inc. on speculation the U.S. economy will expand at a faster pace than in Europe and Japan, a survey of Bloomberg users showed.

Hedge-Fund Losses Show Drop in Euro Fails to Benefit All Currency Traders Hedge funds that trade currencies are taking hits from politicians casting them as speculators out to sink the euro and push Greece into insolvency. They are also losing money.

Chilean Peso Falls for a Second Day; Swap Yields Drop on Inflation Bets Chile’s peso fell for a second day on speculation the government may finance part of the reconstruction after last month’s earthquake with local bond sales and amid declines in copper, the nation’s biggest export.

Buy British Pound Before Fibonacci Rally to $1.57: Technical Analysis Investors should buy the British pound against the dollar as it rebounds from a Fibonacci level and signals a possible “good rally” in the U.K. currency to $1.57, according to Citigroup Inc.

Buy Mexican Peso Via Options as Growth May `Surprise,' Morgan Stanley Says Investors should buy the Mexican peso through options as economic growth in the second-largest Latin American economy may “surprise on the upside,” Morgan Stanley said.

Canadian Currency Trades Near Highest Level in 5 Months on Growth Outlook Canada’s dollar traded near its strongest level in almost five months as investors bet the nation’s economy will be among the strongest during the recovery.

Papandreou Says Obama Is `Supportive' of Measures to Stem Deficit Crisis Greek Prime Minister George Papandreou said President Barack Obama expressed support for measures being taken to deal with Greece’s financial crisis.

Franc Falls From One-Year High Versus Euro Amid Intervention Speculation The Swiss franc pared its advance against the euro after reaching the highest level in a year, amid speculation the nation’s central bank sold the currency to damp its appreciation.

Posen Says Bank of England Hopes Bond Plan Has `Done it' as Economy Grows Bank of England officials are counting on their 200 billion-pound ($300 billion) bond-purchase program to have succeeded in restoring the economy to growth, policy maker Adam Posen said.

Romania's Rating Outlook Raised to Stable at S&P on Budgetary Commitment Romania’s credit rating outlook was raised to stable at Standard & Poor’s after the International Monetary Fund resumed a bailout loan to the country and the government passed an austerity budget.