Yuan Gains for Sixth Day as Central Bank Sets Record Fixing

China’s yuan advanced for a sixth day, the longest winning streak since May, after the central bank strengthened the currency’s reference rate to a record. The government called for “unrelenting” implementation of its economic policies and reforms to consolidate the nation’s recovery from a slowdown, according to a State Council statement released over the weekend. Asia’s largest […]

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U.S. May Join Germany of 1933 in Pantheon of Defaults

Reneging on its debt obligations would make the U.S. the first major Western government to default since Nazi Germany 80 years ago. Germany unilaterally ceased payments on long-term borrowings on May 6, 1933, three months after Adolf Hitler was installed as Chancellor. The default helped cement Hitler’s power base following years of political instability as […]

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First U.S. Shutdown in 17 Years Imminent With No Talks

“Republicans and Democrats say they don’t want to close the government, though neither side is budging from their positions. House Republicans, led by Speaker John Boehner, want to delay President Barack Obama’s Affordable Care Act for a year and make other changes to the law. Democrats, led by Obama, say that won’t happen. Obama will […]

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Thai Stocks Slump 21% From High in Longest Decline Since 1998

“Thai stocks retreated for a ninth day, sending the benchmark index down more than 20 percent from this year’s high, amid concern foreign outflows will accelerate as the economy weakens. The baht and government bonds dropped. The benchmark SET Index lost 2.7 percent to close at 1,293.97 in Bangkok, its longest losing streak since 1998. […]

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Capital Flight Drains Reserves as Rupee, Rupiah Fall: Currencies

“Asian nations are depleting foreign reserves as they seek to bolster their currencies while investors pull billions of dollars from the region. Of the 10 Asian central banks with the largest reserves, six have cut their holdings this year, led by a record 18 percent reduction by Indonesia, data compiled by Bloomberg show. Their reserves […]

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Brazil Real Weakens Amid Concern Intervention Won’t Stem Decline

“Brazil’s real extended the biggest three-month drop among major currencies on speculation a $60 billion intervention program isn’t enough to stem the slide. The real fell 1.3 percent to 2.3799 per dollar in Sao Paulo. It jumped the most in almost two years Aug. 23, the day after the central bank said it will auction […]

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Capital Flows Back to U.S. as Markets Slump Across Asia

“The Indian rupee fell to a record low today, Thailand is in recession and Indonesian stocks have slumped about 20 percent since their peak. Chinese banks’ bad loans are rising and economists forecast Malaysia will post its second straight quarter of sub-5 percent growth this week. The clouds forming in Asia as liquidity tightens and […]

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