Rus News Journal

The market of world currencies

Rescuing Mexican peso, FRS the First week of year has shaken dollar

unpleasant events in the world financial markets were characterised by variety enough. First of all financial scandals in Mexico and Spain which has caused a collapse of quotations of national currencies and, accordingly, essential strengthening of positions of dollar became them. However the dollar nevertheless has appeared not so strong as could seem at first, and by a weekend its course in relation to DM has fallen to the lowest for last two months of a mark.

situation Development in the world currency market in the beginning of the past week was exclusively favorable for the American currency. On January, 4th the dollar for the first time for last four months has risen above 101 yens and has become stronger at level 101,315. By estimations of the London experts, so appreciable strengthening some reasons promoted at once. It, in the first, the positive information on rates of increase of economy; in - the second, growing confidence of investors of inevitability of new increase of interest rates, and, except that, instability of the financial markets in Mexico which has forced many players to search for rescue in more reliable American currency. Thus operators of the market have practically ignored acceptance of the international economic package of measures on maintenance of the Mexican economy. As a result of the quotation of the Mexican currency under transactions spot and tomorrow have fallen on 25 sentavo to 5,50 - 5,65 new peso for dollar. In London of peso has finished day on a mark in 5,575 for dollar against 5,325 the day before.
New failure has comprehended peseta: the decision of Bank of Spain to lift the rate of buying up with 7,35 to 8 % practically has not affected a peseta course change, and on Wednesday it has made 85,01 pesetas/ DM against 84,80 day before.
past Friday peseta position has even more become complicated - this time blow has been put by neighbours - Portugueses when the escudo course in relation to peseta for the first time for last seven years has broken through level in 1,20 escudos. Hearings that the Bank of Spain has begun active dump of pound sterling for DM purchase Besides, have spread. In relation to mark the London course of peseta has made 85,90 pesetas against previous 85,54. At the same time the Mexican new peso has a little become stronger at the morning London auctions. Most likely, it has been connected with expectation by investors of positive results of negotiations of the Minister of Finance of Mexico Guillermo Ortisa with representatives of IMF. But in second half of day of peso has sharply fallen, and by the end of the auctions the course made 5,52 peso (5,45 the day before).
dollar Growth has allowed experts to act with rather optimistical statements. Michael Berk from Citibank has noticed that rather active overflowing of the capital from Japan and " now is observed; increase of the American rates does dollar especially attractive in the opinion of Japanese investors .
However despite optimistical forecasts of experts dollar position in the world markets has appeared far not so strong as could seem. So, already on January, 10th the amplified disagreements between the USA and Japan and, except that, actions of the Federal reserve on Mexican peso rescue (FRS has the day before started to buy up the Mexican currency at the desire of Bank of Mexico that has allowed peso to rise to 5,15) have led record for last two months to falling in relation to DM. By the end of morning London session the dollar exchange rate made 1,5382 marks against 1,5536 a day before it.