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To: Alex who wrote (18848)	9/14/1998 5:40:00 PM
From: goldsnow	Respond to of 116915

Dollar up amid hopes for global, political stability 05:29 p.m Sep 14, 1998 Eastern By Al Yoon NEW YORK, Sept 14 (Reuters) - The dollar rose against the German mark and Japanese yen on Monday, riding an impressive stock market rally that came amid hopes for stability in Washington politics and emerging market economies. However, dealers said dollar sentiment remained cloudy, with the greenback unable to rally strongly following last week's market turmoil and amid continued speculation that the Federal Reserve would lower interest rates soon. In late trading, the dollar was at 132.53 yen, up from 130.73 at the close on Friday and slightly higher at 1.6965 marks from 1.6960. Traders said stock markets extended Friday's rally, as independent counsel Kenneth Starr's report of the scandal surrounding President Bill Clinton was deemed as providing little new, nor more damaging accusations. ''The relief rally that is running through the marketplace is directly a result that there's nothing in the report that is new, but it's not really working in the currency market,'' said Hillel Waxman, vice president at Bank Leumi Trust Co. Traders said the dollar drew modest support on hopes that industrialised nations would band together in stemming global economic crises. The Group of Seven finance ministers said their nations agreed to a common approach to support reforming countries, including support for efforts led by the International Monetary Fund. The G7 comments followed similar words from Clinton, who said he asked Federal Reserve Chairman Alan Greenspan and Treasury Secretary Robert Rubin to hold a meeting with other monetary officials to discuss ways to cope with spreading economic crises. ''With positive statements from Clinton, the IMF and G7, people are at least making efforts in letting markets know that (global economic concerns) are a priority and that they will attempt to do something to improve the situation,'' Robert Lynch, currency analyst at Paribas, said. Traders said the officials' comments should ease some pressure on the dollar, which had been hit by emerging market problems and their prospective impact on the U.S. economy, but there was still a lack of enthusiasm for the currency. Some analysts speculated comments from Clinton and the G7 added pressure on the Fed to cut rates at its policy-making meeting Sept. 29. A Fed easing has already been factored into the dollar, but the currency could suffer more in the short term, they said. The dollar gained on the yen in Tokyo trading as Japanese opposition parties would not accept a compromise on key banking reform bills offered by the ruling Liberal Democratic Party, threatening to prolong the process of disposing of as much as $1 trillion in bad loans. In other trading, the dollar was higher at 1.3992 Swiss francs from 1.3900 on Friday but down at Canadian $1.5042 from C$1.5140. The British pound rose to $1.6780 from $1.6740. Copyright 1998 Reuters Limited.

To: Alex who wrote (18848)	9/14/1998 5:47:00 PM
From: scotty	Read Replies (1) \| Respond to of 116915

Alex....I'm hip.......Micheal Metz warned of the derivatives risks a year ago <g>

To: Alex who wrote (18848)	9/14/1998 6:20:00 PM
From: Little Joe	Read Replies (1) \| Respond to of 116915

Alex: Thanks for your post on derivatives. I have seen several articles that indicate that this could be a major problem. One thing for sure when a market moves in a certain direction without any obvious reason, the reason will soon become obvious. Live long and prosper, Little joe