The dollar edged lower on Monday as risk appetite made a tentative return to financial markets after the central bank of the United Arab Emirates said it would stand behind local banks and foreign financial institutions with exposure to the region
Despite the 6% slump in Dubai equity indices in early trading, global markets have shrugged off concerns surrounding the debt crisis with remarkable ease, and risk appetite has begun the week on a strong footing with most Asian equity indices strongly higher. The remedy for the most recent bout of risk aversion has been an announcement from the UAE central bank asserting they would stand behind…
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For now worries surrounding events in the UAE seem to have tapered off and markets have reengaged in risk correlated trades. Over the weekend, the AUE central bank stated that in order to boost liquidity it would offer liquidity to local and foreign banks. In addition, measures are expected if pressure on local markets does not ease. While local Middle East markets have opened lower, Asian… | ||||||||||||||||||||
