Tuesday, December 1, 2009

Morgan Stanley: Dubai World will not help the dollar

According to analysts of Morgan Stanley, the dollar will not be able to significantly strengthen its position against the anti-risk sentiment caused by concerns about debt restructuring Dubai World. "We do not consider these events as systemic risks", - noted in the bank. Thus, the dollar will not get support. In contrast, other currencies with a low beta, such as the yen, Swiss franc and euro even able to extract more benefits from the situation. "More than others in these circumstances, the downside risks to currencies with high beta and weakened fundamentals, such as the New Zealand dollar. Not in the best position of the U.S. dollar and the pound."

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