"Turmoil in money markets to continue"

[villager]

Turmoil in money markets to continue: Dodge
Volatility putting global economic growth at risk

Norma Greenaway, CanWest News Service

Published: Saturday, November 17, 2007

OTTAWA -- There is no quick end in sight to the unprecedented volatility in foreign exchange markets that is putting world economic growth at risk, David Dodge, the governor of the Bank of Canada, said Saturday between meetings in South Africa with his counterparts and finance ministers from 20 countries.

Mr. Dodge said the downside risks posed to growth have increased at a faster pace than anticipated when finance minister and bank governors from the seven largest industrial countries met at the International Monetary Fund headquarters in Washington, D.C. last month.

"It is quite clear that the global financial turbulence that we were experiencing then is going to be more prolonged, and its volatility is likely to continue to be higher for longer, certainly longer than we anticipated when we met at the IMF last month," Mr. Dodge told reporters in a conference call from Kleinmond, a seaside resort south of Cape Town.

"That clearly poses a risk which we're going to have to take into account in setting our own policies," he added.

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http://www.canada.com/nationalpost/news/story.html?id=ebd30299-91a9-4909-9f37-7d88612d079a&k=828

[ret5hd]

1. Reality and the beginnings of panic are starting to set in. (nt)

[roamer65]

2. Dodge is a very good central bank chief...

and is telling the truth. I wish we had him as Fed chief, rather than Helicopter Ben.