The dollar slumped to
multi-week lows against the euro and the yen on Friday after a
report showed U.S. economic growth cooled in the first quarter,
raising the prospect of further stimulus from the U.S. Federal
The weaker-than-expected growth showed businesses cut back
on investment and restocked shelves at a moderate pace at a time
when investors are worried that a lack of job creation will stem
The euro was already higher after a smooth Italian bond
auction eased concerns over peripheral euro-zone debt markets.
The sale offset jitters sparked by a downgrade of Spain's
sovereign debt and dismal Spanish economic data.
The U.S. economic data added to the dollar's woes, sending
it to its lowest since mid-April against the yen.
"GDP was worse-than-expected, and that increases the chances
of the Fed launching QE3," said Daniel Hwang, senior currency
strategist at Forex.com in New York. "Markets shrugged off the
Spanish rating action, and we could see risk assets continue
upward momentum on expectations of a Fed move. This is negative
for the dollar as it increases QE3 chances."
UAE stocks: A roller-coaster ride for investors
After a very volatile week the Dubai Financial Market General Index (DFMGI) ended down 168.25 or 4.68 per cent to close at 3,426.7. That’s after dropping as much as 16.8 per cent before finding some
Saudi tops GCC in polymer production
Saudi Arabia has emerged as the biggest producer of polymers in the GCC with a 74 per cent share of the region's total capacity amounting to 17.6 million tonne, said a report.