Currencies

Yen, Dollar Gain on Concern China to Cool Growth, Europe Deficits to Widen The yen and dollar strengthened against most major currencies after a report that China’s banks were ordered to stop loans to speculators increased demand for safer assets.

South Korea's Won Retreats From Near Two-Month High on Intervention Risk South Korea’s won retreated from near a two-month high on speculation the central bank will seek to damp appreciation that may hurt exports.

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.

Germany Seeks IMF Role for Greece in Reversal, CDU Lawmaker Meister Says Greece should turn to the International Monetary Fund if it needs aid, the chief finance spokesman for German Chancellor Angela Merkel’s party said, in a reversal that signals a rift with European leaders Jean-Claude Trichet, Jean-Claude Juncker and Nicolas Sarkozy.

Credit Control Key to `Radical' Macro Tools for Crisis, U.K.'s Turner Says Controlling credit to different parts of the economy may be key to making sure asset bubbles don’t trigger future crises, the head of Britain’s financial regulator said.

`Regulatory Bomb' for Bankers Prompts Societe Generale to Calm Investors Societe Generale SA, France’s second-largest bank by market value, is telling investors that regulators are likely to soften new rules for lenders as governments seek to avoid stifling the economic recovery.

Conservatives Attack Brown on Deficit After BOE Makes Bond-Yield Comment Britain’s main opposition Conservative Party seized on comments by the Bank of England to attack the government’s handling of the public finances in the latest effort to win over voters by showing which party has the most credible economic policies.