Manila Forex Hit By Political Uncertainty

The Dollar and other foreign currencies rose sharply yesterday (June 9, 2005) against the Philippine Peso as rumors of plots to oust the president persistently spread across the country. Allegations against Macapagal’s administration have been hurting the economy for the past three days resulting to a 2.82% decrease in shares during the stock market’s closing last Thursday.

Efforts to implicate Arroyo’s family in illegal lotteries alongside rumored protests for alleged electoral frauds during her last presidential campaign have caused the military to be on high alert. These have caused investors to back out from a market that has become nervous of the political developments.

With composite index to lose 55.04 points in the morning trade, the Dollar was traded to a lowered Peso value of P54.92 yesterday.

But matters have gone from bad to worst today as trading closed at P55.20 to a Dollar, its lowest in three months as anti-government rallies have started to stage protests. With trading and businesses closed on Monday for the Independence Day holiday, the economy hangs in waiting for the next turn it will take.

Source: Asian Stock Close Mixed Ahead Of Greenspan’s Testimony, menafn.com and Peso At New 3-Month Low; Central Bank Seen In The Market, inq7.net

Study Forged New Forex Arrangement

Nigeria’s Central Bank announced last May 2005 that a new foreign exchange market arrangement will be implemented based on the results of the study it commissioned last 2004.

The study revealed that the foreign exchange market lacked discipline and that there was a need to implement a tighter rules-based system to manage the country’s scarce foreign exchange resource. It cited that the primary problem of the current foreign exchange market dealt with the malpractice of the round tripping of funds by licensed banks.

With the new policy, not all licensed banks will be made an authorized to dealer. Thus, only a few banks will be made eligible to participate in the foreign exchange market. Banks who are authorized and licensed would be easily sanctioned in the event the moment they break the rules. With proper implementation, the exchange rate would always be managed to reflect market fundamentals, with the market premium gap narrowed to not more than 3.0%.

Highlights of CBN Coming With A New Forex Market Deal, Vanguard Online

New Currency Trading Platform Launched

Texas-based MegaMania Interactive, Inc. launched an integrated Foreign Exchange Currency Trading Platform last May 2005 in support of currency traders worldwide. The new platform consists of five major applications or components, which are all specifically designed to meet the needs of currency traders.

The said components are the Charting Software, Live Commentary, eLearning Training, Automated Trading Technology, and Currency Dealing Station. These would either provide real-time quotes, allow traders to hear a mentor’s advice while actually viewing a mentor’s markings on their PC, deliver online trading lessons, execute trades automatically, and manage their account.

MegaMania will be releasing the new platform this 2005 in two phases. Phase 1 is scheduled for release by July while phase 2 by the remainder of this year.

A developer of advanced web-based solutions for business, MegaMania is backed by two development centers spanning most software disciplines. It is also the developer of IDENTITY, the personal website technology for creating instant Internet presence for families and individuals.

Highlights of MegaMania Interactive Announces FOREX Development Initiated, marketwire.com