MisterFund dot com

Image credit to Google
Board of Finance Chairman Ernesto Nepomuceno said that his panel will probably have to “strike a balance” between conflicting proposals on how much the proposed budget should increase as it tries to get a spending package approved at referendum this spring while the national economy continues to decline. Read more

Image credit to Google

The U.S. dollar has been struggling against the yen as risk appetite has fallen following a slide in US stocks, prompted by weak earnings at the world’s biggest industrial conglomerate General Electric Co. Read more

Image credit to Google
Lombard Finance has been placed in receivership owing its 4400 investors $127 million, after the firm’s trustee rejected directors’ proposals to implement a moratorium.

Perpetual Trust chief executive Louise Edwards, in calling in receivers last night, said “no compelling reason” existed for the proposed moratorium.

“The interests of investors will be better served by appointing receivers to independently address the issues the company has.”

John Waller and John Fisk, of PricewaterhouseCoopers, have been named receivers.

Lombard Finance, part of the listed Lombard Group, is the 17th finance firm to get into trouble in less than two years. The money hit by finance company problems is now over $2 billion.

The receivership also applies to other subsidiaries, Lombard Asset Finance, Lombard Property Holdings and Lombard Asset Finance No 2 Lombard Group itself is unaffected.

Edwards said all payments of interest and principal to Lombard Finance debenture holders had been suspended with repayment to be announced.

By DAVID HARGREAVES - The Press

Image credit to Yahoo
BEIJING, (Xinhua) — China should adopt a stable foreign exchange rate policy to avert the possible economic fall-out of continued yuan appreciation, policy advisers said on Thursday, as the currency broke through the 7 mark against the U.S. dollar. Read more

FRANKFURT, April 10 (Reuters) - European Central Bank President Jean-Claude Trichet said on Thursday that the recent volatility on foreign exchange markets was excessive and was to be deplored.

“I deplore the excessive volatility of exchange rates. I was concerned by the recent excessive moves,” Trichet told a press conference held after the ECB held its key interest rate at 4.0 percent.

Trichet had been asked to comment on the euro-sterling exchange rate after the pound reached a record low against the common currency on Wednesday. But he widened his answer to include the euro’s recent appreciation against the dollar.

“I have observed with great, great attention and interest what has been said by the U.S. authorities including the highest authority which is the President of the United States,” Trichet said.

The United States government has regularly stated that it is in favour of a strong dollar.

“On the UK, I would say it is clear that excessive volatility is certainly not welcome for any of us and I guess that it is not welcome for the United Kingdom,” he added.

The Bank of England cut its key interest rate by a quarter point to 5.0 percent earlier on Thursday. (Writing by Gerrard Raven +44 20 7542 4868, editing by David Stamp)

REUTERS

NEW YORK, (Reuters) - The euro again targeted record highs against the dollar on Monday after higher-than-forecast euro-zone price data reinforced expectations that the inflation-focused European Central Bank will not start cutting rates soon. Read more

A $1.2 million tourism campaign will highlight the biggest events in Sydney’s calendar in a bid to attract more visitors to the city, the NSW government says.

State Tourism Minister Brown officially launched the campaign - dubbed Sydney, Designed to Inspire - at a breakfast at the city’s Museum of Contemporary Art on Tuesday. Read more

KUALA LUMPUR, April 10 (Bernama) — The ringgit ended at a new 10-year high against the US dollar today following the surprise move by the Monetary Authority of Singapore to tighten its foreign exchange policy to contain inflation, a dealer said.

At 5pm, the ringgit traded firmer against the U.S. dollar at 3.1500/1530 compared with 3.1750/1785 at yesterday’s close.

The ringgit recorded its last 10-year high against the greenback on March 13 when it hit 3.1560.

“The market moved fast today, forcing the ringgit to another new record. This trend is likely to be sustained for quite some time,” the dealer said.

He attributed the ringgit’s appreciation to the strengthening of the Singapore dollar.

Singapore today moved to re-centre its foreign exchange policy band at the current firm level of its dollar nominal effective exchange rate.

The move is expected to be beneficial for Singapore’s economy as a strong currency will help cushion its economy from rising global commodity prices, dealers said. Singapore which has limited natural resources is highly dependent on imports.

The ringgit today declined against the Singapore dollar to 2.3194/3237 from 2.3007/3040 at yesterday’s closing and depreciated against the Japanese yen to 3.1328/1361 from 3.1044/1067.

Compared with the euro, the ringgit was also weaker at 4.9987/9041 from 4.9965/9014 yesterday but it strengthened against the pound sterling to 6.2294/2363 from 6.2597/2649.

– BERNAMA

United Arab Emirates foreign exchange reserves surged 50 per cent in November, the most in at least 18 years, to $75 billion, a central bank treasury official said on Thursday.

That was the same month UAE Central Bank Governor Sultan Nasser Al Suweidi said the world’s fifth-largest oil producer was under pressure to drop its peg to the dollar and might consider linking to a basket instead.

Reserves jumped from $50.4 billion the month before, the biggest rise since data going back to 1990. The central bank official did not want to be identified.

-Reuters

MANILA — The Philippines will explore the Canadian housing finance system in a bid to create a system for securitization of housing mortgage in the country, according to the Department of Foreign Affairs.

Quoting a report from the Philippine Ambassador to Canada Jose Brillantes, the DFA said on Wednesday that a senior level delegation from the National Housing Mortgage Finance Corporation (NHMFC) visited Canada from March 17 to 19 and met with officials of Canada Mortgage and Housing Finance Corporation (CMHC).

The department said that the NHMFC was tapping CHMC’s expertise and experience in mortgage-backed securities (MBS) and as the leading provider of liquidity in Canada’s housing markets, a role similar to the one envisioned by NHMFC.

Canada Mortgage and Housing Finance Corporation (CMHC) is Canada’s national housing agency, and premier provider of mortgage loan, mortgage-backed securities, housing policy and programs and housing policy research. It has globally recognized expertise in housing finance, mortgage funding, capital markets policy, business development and new products, strategic planning, international housing policy and evaluation and legal and default management.

DFA Spokesperson Claro Cristobal said that during the three-day workshop-meeting, the officials of both housing agencies discussed and exchanged views on all aspects of securitization, its evolution and development, challenges, market analysis, funding, legal infrastructure, risk management, among others.

The members of the Philippine delegation came from the Department of Finance, Housing and Urban Development Coordinating Council (HUDCC), National Housing Mortgage Finance Corporation (NHMFC), Home Guaranty Corporation (HGC), and Home Develoment Mutual Fund (HDMF). They included Undersecretary Jeremias N. Paul, Jr., Lucille P. Ortille, lawyer Joseph Sison, Gonzalo A. Bongolan, lawyer Romeo S. Quimbo, laywer Rene N. Carreon, Daisy S. Dulay, lawyer Daniel Q. Lacuata, Rosabella C. Jose and Virgei A. Paz.

Brillantes hosted a dinner for the delegation at the “Tahanang Rizal,” the ambassador’s Official Residence, which was also attended by embassy officers and staff. A reception in honor of the Philippine delegates was also hosted by Pierre David, Executive Director of CHMC International.

By Cynthia Balana
Philippine Daily Inquirer