FXNEWS-Comment on Fed move to backstop commercial paper
Tue, Oct 7 2008, 13:33 GMT
http://www.afxnews.com
- "It was probably a necessary step to shore up short-term funding," said Adam Fazio, senior currency strategist at CIBC World Markets in New York. "Some measure in some form was expected. The Fed has been coming out with so many different measures lately and given yesterday's complete destruction of capital in markets. some action by Fed was expected. I don't think the coordinated rate cut will happen. The dollar got whacked a little bit initially on the knee-jerk (reaction). Could see the euro pull back to low 1.40. Moves in last few days have been too far, too fast." Reuters Messaging: nick.olivari.reuters.com@reuters.net
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