Fund Performance per day ( inception date, 20 Oct 06) : -0.0293%

GBP - Bullish, Halifax said house prices were up in October, but there were actually some signs of a slowdown on the way for the months ahead. There are signs that there is deceleration of activity in RICS surveys and a drop in the numbers looking for a new home, based on data from the Home Builders Federation.

NOK - (FRom AFX) October's inflation figures was above expectations and Norges Bank's forecasts from its recent Inflation Report. Norges Bank's decision to focus on the risk of an over-heated domestic economy rather than the stubbornly low inflation rate may have left the market more muted. We still see further upside risk to yields at the very front end of the curve as Norges Bank is expected to step up its rate hiking speed looking forward. The Bank is probably done for this year but will most likely start 2007 with a 25bp rate hike to 3.50%. Next significant data release will not be until the very end of November when unemployment data and the credit growth indicator are due (30-Nov).

USD - (From AFX) People's Bank of China governor Zhou Xiaochuan said China is not planning to accelerate the diversification of its currency reserves. 'We stick to the existing policy,' Zhou told reporters on the sidelines of a European Central Bank conference. 'We have many years of currency diversification policy,' he said. The dollar fell yesterday when Zhou was reported as saying that China has a very clear plan to diversify its reserves. But asked today whether China is shifting currency reserves and selling dollars, Zhou said: 'No.' Chinese government-linked analysts said earlier that markets had overreacted to Zhou's remarks yesterday.

JPY - According to Daiwa Institute of Research senior economist Junichi Makina, the unexpected decline in core private sector machinery orders for September shows that companies have begun to curtail their capital spending amid growing uncertainty over domestic demand. 'Orders from automakers, as long as offshore demand remains solid, are not likely to notably weaken,' Makino said. 'The same theory can also be applied to the prospect for overall capital spending. And, as long as offshore demand remains brisk, overall capital investment -- even if it is losing the strong momentum it has seen in the past -- will not be falling into a serious downtrend,' Makino said.