Friday, March 15, 2013

Hedge funds see profits as central banks print money




Global central banks competing to push their currencies lower and boost sluggish economies have opened up money-making opportunities for hedge funds this year, Reuters reports.  Policymakers from Tokyo to London are freely printing money to lower the relative value of their currencies and make their exports more attractive.

Such overt policies have made hedge fund managers more confident in their bets on currency movements and are encouraging the kind of market volatility on which many of them thrive.
Bank governors worldwide are pondering even more controversial methods to boost domestic money supply, making it yet more enticing for funds to wager on the eventual victors….

http://www.reuters.com/article/2013/03/14/hedgefunds-currency-idUSL6N0C468220130314

No comments:

Post a Comment