NEWS / Foreign Exchange

USD stayed low

The dollar stayed near record lows against the euro and a basket of major currencies on Monday as investor sentiment continued to be weighed down by fears of major losses at financial firms from the credit market turmoil.

Citigroup chairman stepped down

Citigroup Inc on Sunday said its Chairman and Chief Executive Charles Prince had stepped down and it may write off USD 11 billion ofsubprime mortgage losses, on top of a USD 6.5 billion write-down last quarter.

Kiwi wages rise at record pace

Wages in New Zealand rose at a record pace in the third quarter, pointing to a drum-tight labour market and backing views the central bank will hold interest rates steady well into next year.

Data on Monday showed the key labour cost index (LCI) of private wages rose a strongerthan- expected 0.9 % on the previous quarter, matching a record high reached in the December quarter 2006 and picking up from a 0.7 % rise in the previous quarter.

Aussie dollar held firm

The Australian dollar held firm against a struggling U.S. currency on Monday while bonds lost ground ahead of an expected rise in domestic interest rates this week.
The local dollar was also supported by commodity prices as a weak U.S. currency and speculative demand drove oil