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Problems in the US sub-prime mortgage sector are causing global market turmoil (Photo: www.freeimages.co.uk)

EU and US central banks consider currency swap

Amid fears that US mortgage market problems would prompt a worldwide credit crunch, the European Central Bank, ECB, is expected to continue pumping funds into the eurozone banking market today (13 August).

According to the Financial Times, the Frankfurt-based institution may also seek to arrange a currency swap with the US Federal Reserve – a move allowing it to lend dollars to European banks struggling to meet short-term dollar funding needs.

"The attitude is don't show me anyth...

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Problems in the US sub-prime mortgage sector are causing global market turmoil (Photo: www.freeimages.co.uk)

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