Monday, June 25, 2007

U.K. Pound May Fall Versus Dollar, Euro on Views Recent Rise Is Excessive

(Bloomberg) -- The U.K. pound may fall as traders
judged its recent rise, fuelled by speculation the Bank of
England will keep raising interest rates, was excessive.

The pound climbed through the $2 barrier yesterday for the
first time since May as investors bet BOE Governor Mervyn King
will this week tell lawmakers interest rates need to rise
further. A report showed futures traders have raised bets the
pound will rise, pushing the so-called net long positions to a
four-month high.


Read more at Bloomberg Currencies News

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