Portfolio Performance : +5.13%

Headline News

1. US Paulson says that energy prices prolonging hard times
2. Newspaper stocks fall after Goldman downgrade
3. Moody's said that the 3 leading Singapore banks should still see growth this year, but might struggle to show growth next year as bad loans start to rise.
4. Malaysia's manufacturing sales in April rose 18.5% from a year earlier led by refined petroleum products, electronics, iron and steel products and chemicals
5. Vietnam said that it would export more rice after it has ensured that domestic market is well supplied first
6. Swiss producer and import prices in March were higher by 3.9% year on year
7. Dutch April consumer spending rises 2.1% year on year
8. Italy April industrial sales higher by 13.9% year on year, orders higher by 12.8%
9.Hong Kong CPI higher by 5.7% in May vs 5.4% in April
10. India inflation rate accelerated to a 13 year high on a recent fuel hike in retail fuel prices and because of an increase in prices of non food items. The WPI rose 11.05% for the week ended June 7
11. Thousands of Thai protestors breached a police barricade and surrounded the government office on Friday
12. Rumors filled the market of European banks in trouble, a US broker to report earnings downgrade, which caused a negative USD and spreads to widen
13. IMF says that US recovery will be more gradual than previous recessions

My expectation for the USD crosses

1. AUD : Neutral
2. GBP : Neutral
3. CAD : Positive
4. JPY : Positive
5. CHF : Negative
6. EUR : Neutral

Bottomline : The US dollar might be under some pressure on financial market turmoil