Mellon Bank Corp. last week began opening its funds transfer system at 7:30 a.m., one hour earlier.

By staying open for 11 hours, the bank can provide "competitive opportunities in the euro-international trading arena," said Robert W. Stasik, executive vice president and head of Mellon Global Cash Management. The longer operating day also reduces foreign exchange settlement risk, he said.

The move is similar to the Federal Reserve's 1997 decision to lengthen the opening of Fed Wire, its real-time funds transfer network, to 18 hours. Longer operating hours overlap with funds transfer operations overseas, thereby reducing settlement risk associated with foreign exchange trading.

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