UNITED STATES
	SECURITIES AND EXCHANGE COMMISSION
	Washington, D.C. 20549

	FORM 10-Q


[X]	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2009 or

[ ]	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from               to__________________

Commission File Number: 0-31563

	MORGAN STANLEY SPECTRUM CURRENCY L.P.

	(Exact name of registrant as specified in its charter)

		Delaware						     13-4084211
(State or other jurisdiction of		   		  (I.R.S. Employer
incorporation or organization)			       Identification No.)

Demeter Management LLC
522 Fifth Avenue, 13th Floor
New York, NY		    					 	   10036
(Address of principal executive offices)	  	      (Zip Code)

Registrant?s telephone number, including area code    (212) 296-1999





(Former name, former address and former fiscal year, if changed since
last report)

Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period
that the registrant was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days.

Yes    X       	No___________

Indicate by check mark whether the registrant has submitted
electronically and posted on its corporate Web site, if any, every
Interactive Data File required to be submitted and posted pursuant to
Rule 405 of Regulation S-T (?232.405 of this chapter) during the
preceding 12 months (or for such shorter period that the registrant was
required to submit and post such files).

Yes            	No

Indicate by check mark whether the registrant is a large accelerated
filer, an accelerated filer, a non-accelerated filer, or a smaller
reporting company.  See the definitions of ?large accelerated filer?,
?accelerated filer? and ?smaller reporting company? in Rule 12b-2 of the
Exchange Act.

Large accelerated filer_______ 		Accelerated filer_______
Non-accelerated filer   X   		Smaller reporting company_______

Indicate by check mark whether the registrant is a shell company (as
defined in Rule 12b-2 of the Exchange Act).  Yes___  No X




	<page> <table> SPECTRUM CURRENCY L.P.

	INDEX TO QUARTERLY REPORT ON FORM 10-Q

	June 30, 2009
<caption>

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements (Unaudited)

				<c>
		Statements of Financial Condition as of June 30, 2009
		and December 31, 2008 	2

		Statements of Operations for the Three and Six Months
		Ended June 30, 2009 and 2008 	3

		Statements of Changes in Partners? Capital for the
		Six Months Ended June 30, 2009 and 2008 	4

		Statements of Cash Flows for the Six Months Ended
		June 30, 2009 and 2008	5

		Condensed Schedules of Investments as of June 30, 2009
	  and December 31, 2008	6

		Notes to Financial Statements	7-23

Item 2.	Management?s Discussion and Analysis of
			Financial Condition and Results of Operations	24-35

Item 3.	Quantitative and Qualitative Disclosures About
			Market Risk	35-46

Item 4.	Controls and Procedures	46

Item 4T.	Controls and Procedures	47


PART II. OTHER INFORMATION

Item 1A.Risk Factors 	48

Item 6.	Exhibits 	48
</table>


<page> <table>
PART I.  FINANCIAL INFORMATION
Item 1.  Financial Statements
	MORGAN STANLEY SPECTRUM CURRENCY L.P.
	STATEMENTS OF FINANCIAL CONDITION
                                                                            (Unaudited)
<caption>
	June 30,	December 31,
	       2009      	              2008
	 $	$
ASSETS

	<c>	<c>

Trading Equity:
	Unrestricted cash	70,963,252	92,837,025
	Restricted  cash	                73,348	           640,778

	     Total cash	71,036,600   	     93,477,803

	Net unrealized gain (loss) on open contracts (MS&Co.)	    158,705    	         (403,907)

	Options purchased (premiums paid $27,698
       and $45,729, respectively)	                17,771	                   251

		Total Trading Equity	71,213,076	93,074,147

Interest receivable (MS&Co.)	                  4,454	                   619

	     Total Assets	        71,217,530       	        93,074,766

LIABILITIES AND PARTNERS? CAPITAL

Liabilities

Redemptions payable	1,230,687	4,139,379
Accrued brokerage fees (MS&Co.)	273,097	356,847
Accrued management fees	118,738	       155,151
Options written (premiums received $6,215
  and $24,780, respectively)                       14,653                                    251

	     Total Liabilities	         1,637,175 	       4,651,628

Partners? Capital

Limited Partners (6,422,784.051 and
   7,843,447.630 Units, respectively)	68,868,695	87,533,608
General Partner (66,370.343 and
   79,706.343 Units, respectively)	           711,660	           889,530

	     Total Partners? Capital	      69,580,355	      88,423,138

	     Total Liabilities and Partners? Capital	      71,217,530     	        93,074,766
NET ASSET VALUE PER UNIT	               10.72                       	          11.16
<fn>
The accompanying notes are an integral part
of these financial statements. </table>
- 2 -


<page> <table> MORGAN STANLEY SPECTRUM CURRENCY L.P.
STATEMENTS OF OPERATIONS
(Unaudited)
<caption>

                                                         For the Three Months	                            For the Six Months
  	                                            Ended June 30,                                    Ended June 30,

                                                  2009   	          2008    	       2009   	     2008
                                                      $	               $	           $                         $

	   <c>	<c>		<c>	<c>

INVESTMENT INCOME
	Interest income (MS&Co.)                              	      16,717		       319,981		     38,560	                 789,972

EXPENSES
	Brokerage fees (MS&Co.)	830,905	1,177,430	 1,796,815 	             	2,388,113
	Management fees	361,262	   511,926	        781,224		1,038,310
	Incentive fees	                ?       	       193,832	           ?       		        281,110

		   Total Expenses 	   1,192,167	     1,883,188	    2,578,039		    3,707,533

NET INVESTMENT LOSS 	   (1,175,450)	    (1,563,207)	   (2,539,479)		    (2,917,561)

TRADING RESULTS
Trading profit (loss):
	Realized	(294,623)	1,114,381	 (1,319,959)             5,071,953
	Net change in unrealized	    1,463,009	    (1,439,020)	       565,196		    3,654,477

		   Total Trading Results	    1,168,386	       (324,639)	     (754,763)		    8,726,430

NET INCOME (LOSS)                                                 (7,064)		    (1,887,846)	    (3,294,242)		   5,808,869

NET INCOME (LOSS) ALLOCATION

	Limited Partners	(6,991)	(1,867,168)	(3,261,110)		5,746,194
    	General Partner	(73)	(20,678) 	(33,132)		62,675

NET INCOME (LOSS) PER UNIT

	Limited Partners                                          	        ?	(0.18)	  	(0.47)    	0.55
	General Partner	                                                          ?                         (0.18)	  	(0.47)   	 0.55

			                                                                  Units     	Units	Units	    	     Units
WEIGHTED AVERAGE NUMBER
	OF UNITS OUTSTANDING                     	6,675,419.309	  9,779,483.672	  7,071,687.425	  	10,127,567.679



<fn>


	The accompanying notes are an integral part
	of these financial statements. </table>
<page> <table> MORGAN STANLEY SPECTRUM CURRENCY L.P.
STATEMENTS OF CHANGES IN PARTNERS? CAPITAL
For the Six Months Ended June 30, 2009 and 2008
(Unaudited)
<caption>



	Units of
	Partnership	Limited	  General
	   Interest   	Partners	   Partner  	     Total
		$	$	$


	<c>	<c>	<c>	<c<
Partners? Capital,
   December 31, 2007	10,912,868.181       	106,178,308	1,149,436	107,327,744

Offering of Units	170,582.780	1,752,068	?  	1,752,068

Net Income                                                                ? 	  	5,746,194	62,675	     5,808,869

Redemptions	  (1,620,201.779)	 (16,400,818)	   (137,295)	 (16,538,113)

Partners? Capital,
   June 30, 2008	    9,463,249.182	 97,275,752	    1,074,816	  98,350,568




Partners? Capital,
   December 31, 2008	7,923,153.973       	  87,533,608	  889,530	88,423,138

Net Loss                                                                ? 	  	(3,261,110)	(33,132)	    (3,294,242)

Redemptions	 (1,433,999.579)	 (15,403,803)	   (144,738)	 (15,548,541)

Partners? Capital,
   June 30, 2009	    6,489,154.394	 68,868,695	    711,660	  69,580,355





<fn>









The accompanying notes are an integral part
of these financial statements. </table>
<page> <table> 	MORGAN STANLEY SPECTRUM CURRENCY L.P.
	STATEMENTS OF CASH FLOWS
(Unaudited)


<caption>



	    For the Six Months Ended June 30,

	      2009     	               2008
	      $	               $


CASH FLOWS FROM OPERATING ACTIVITIES

			<c>	<c>
Net income (loss)  	(3,294,242)	5,808,869
Noncash item included in net income (loss):
       Net change in unrealized	(565,196)	(3,654,477)

(Increase) decrease in operating assets:
       Restricted cash	567,430	2,985,523
       Net premiums paid for options purchased	18,031	                             23,277
       Interest receivable (MS&Co.)	(3,835)	105,966

Increase (decrease) in operating liabilities:
      Accrued brokerage fees (MS&Co.)	(83,750)	(56,356)
      Accrued management fees	 (36,413)	(24,503)
      Net premiums received from options written	(18,565)     	                    (45,584)
      Accrued incentive fee	               ?       	          2,848

Net cash provided by (used for) operating activities                        (3,416,540)	    5,145,563

CASH FLOWS FROM FINANCING ACTIVITIES

Cash received from offering of Units	                  ?       	2,009,907
Cash paid for redemptions of Units	  (18,457,233)	  (19,348,691)

Net cash used for financing activities	   (18,457,233)	    (17,338,784)

Net decrease in unrestricted cash	(21,873,773)	(12,193,221)

Unrestricted cash at beginning of period	    92,837,025	   110,971,546

Unrestricted cash at end of period	   70,963,252	    98,778,325


<fn>




The accompanying notes are an integral part
of these financial statements. </table>
<page> <table> MORGAN STANLEY SPECTRUM CURRENCY L.P.
CONDENSED SCHEDULES OF INVESTMENTS
June 30, 2009 and December 31, 2008 (Unaudited)
<caption>


Futures and Forward Contracts
     Long
Unrealized
         Gain

Percentage of
  Net Assets
      Short
  Unrealized
       Loss

Percentage of
   Net Assets
      Net
 Unrealized
 Gain/(Loss)

  $
%
$
%
$

June 30, 2009, Partnership Net Assets: $69,580,355





<c>
<c>
<c>
<c>
<c>
Foreign currency
   228,311
         0.33
  (160,543)
       (0.23)
   67,768






     Grand Total:
   228,311
         0.33
  (160,543)
       (0.23)
   67,768

     Unrealized Currency Gain




      0.13

   90,937

     Total Net Unrealized Gain on Open Contracts


 Fair Value
     $
Percentage of
   Net Assets
          %





<c>
 <c>



Options purchased on Futures Contracts
      ?
          ?



Options purchased on Forward Contracts
17,771
0.03



Options written on Futures Contracts
      ?
           ?



Options written on Forward Contracts
(14,653)
       (0.02)





 December 31, 2008, Partnership Net Assets: $88,423,138



 158,705


<c>
<c>
<c>
<c>
<c>
Foreign currency
     79,116
         0.09
  (613,982)
       (0.69)
  (534,866)






     Grand Total:
     79,116
         0.09
  (613,982)
       (0.69)
  (534,866)

     Unrealized Currency Gain




      0.15

   130,959

     Total Net Unrealized Loss on Open Contracts


 Fair Value
     $
Percentage of
   Net Assets
          %





<c>
 <c>



Options purchased on Futures Contracts
      ?
          ?



Options purchased on Forward Contracts
   251
  ?



Options written on Futures Contracts
      ?
          ?



Options written on Forward Contracts
           (251)
            ?







 (403,907)
<fn>
The accompanying notes are an integral part
of these financial statements.
</table>
<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS

June 30, 2009

(Unaudited)


The unaudited financial statements contained herein include, in
the opinion of management, all adjustments necessary for a fair
presentation of the financial condition and results of operations
of Morgan Stanley Spectrum Currency L.P. (the "Partnership").
The financial statements and condensed notes herein should be
read in conjunction with the Partnership?s December 31, 2008,
Annual Report on Form 10-K.

1.  Organization
Morgan Stanley Spectrum Currency L.P. is a Delaware limited
partnership organized in 1999 to engage primarily in the
speculative trading of futures contracts, options on futures
contracts, and forward contracts in global currency markets
(collectively, ?Futures Interests?) (refer to Note 4. Financial
Instruments).  The Partnership is one of the Morgan Stanley
Spectrum series of funds, comprised of the Partnership, Morgan
Stanley Spectrum Global Balanced L.P., Morgan Stanley Spectrum
Select L.P., Morgan Stanley Spectrum Strategic L.P., and Morgan
Stanley Spectrum Technical L.P. (collectively, the ?Spectrum
Series?).


<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

The Partnership may buy or write put and call options through
listed exchanges and the over-the-counter market.  The buyer of an
option has the right to purchase (in the case of a call option) or
sell (in the case of a put option) a specified quantity of a
specific Futures Interest or underlying asset at a specified price
prior to or on a specified expiration date.  The writer of an
option is exposed to the risk of loss if the market price of the
Futures Interest or underlying asset declines (in the case of a
put option) or increases (in the case of a call option).  The
writer of an option can never profit by more than the premium paid
by the buyer but can lose an unlimited amount.

Premiums received/premiums paid from writing/purchasing options
are recorded as liabilities/assets on the Statements of Financial
Condition and are subsequently adjusted to fair values.  The
difference between the fair value of the option and the premiums
received/premiums paid is treated as an unrealized gain or loss.

The Partnership?s general partner is Demeter Management LLC
(?Demeter?). On April 30, 2009, Demeter Management Corporation was
converted from a Delaware Corporation to a Delaware limited
liability company and changed its name to Demeter Management LLC.
The commodity broker is Morgan Stanley & Co. Incorporated

<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

(?MS&Co.?).  MS&Co. also acts as the counterparty on all trading
of foreign currency forward contracts.  Morgan Stanley Capital
Group Inc. (?MSCG?) acts as the counterparty on all trading of
options on foreign currency forward contracts. Demeter is a
wholly-owned subsidiary of Morgan Stanley Smith Barney Holdings
LLC, which in turn is majority owned by Morgan Stanley and
minority owned by Citigroup Inc. (?Citigroup?).  MS&Co., and MSCG
are wholly-owned subsidiaries of Morgan Stanley.  The trading
advisors to the Partnership are C-View International Limited, DKR
Fusion Management L.P., FX Concepts Trading Advisor, Inc., John W.
Henry & Company, Inc., and Sunrise Capital Partners, LLC (each
individually, a ?Trading Advisor?, or collectively, the ?Trading
Advisors?).

Demeter does not believe that the change in ownership of Demeter
had a material impact on the Partnership?s limited partners.  At
all times Demeter served as the general partner of the Partnership
and it continues to do so.  The change in ownership occurred
pursuant to the transaction in which Morgan Stanley and Citigroup
agreed to combine the Global Wealth Management Group of Morgan
Stanley and the Smith Barney division of Citigroup Global Markets
Inc. into a new joint venture.  The transaction closed on June 1,
2009.

<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

On May 28, 2009, the Board of Directors of Demeter, in accordance
with the provisions of Section 5 of the limited partnership
agreement for the Partnership, resolved to modify the net worth
requirement of Demeter. Demeter?s net worth requirement going
forward is 5% of the total partners? contributions, with a minimum
net worth of $50,000 and a maximum of $1,000,000 (cumulative for
all the limited partnerships for which Demeter acts as a general
partner, collectively the ?Funds?).  Prior to the amendment,
Demeter?s net worth requirement was generally at least 10% of
total partners? contributions (cumulative for all the limited
partnerships for which Demeter acted as general partner), with a
minimum net worth of $50,000, but with no maximum.  This change in
Demeter?s net worth requirement for the Funds does not affect the
limited partners? interests in the Funds, status as a limited
partner in the Funds, or the status of the Funds as partnerships
for tax purposes.

2.  Related Party Transactions
The Partnership?s cash is on deposit with MS&Co. in futures,
forward and options trading accounts to meet margin requirements
as needed.  At each month end, MS&Co. pays the Partnership
interest income on 80% of the funds on deposit with the commodity
broker at a rate equal to the monthly average of the 4-week U.S.

<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

Treasury bill discount rate during such month.  The Partnership
pays brokerage fees to MS&Co.

3.  Income Taxes
No provision for income taxes has been made in the accompanying
financial statements, as partners are individually responsible
for reporting income or loss based upon their respective share of
the Partnership?s revenues or expenses for income tax purposes.
The Partnership files U.S. federal and state tax returns.

Financial Accounting Standards Board ("FASB") Interpretation No.
48, "Accounting for Uncertainty in Income Taxes, an interpretation
of FASB Statement No. 109" ("FIN 48"), clarifies the accounting
for uncertainty in income taxes recognized in a Partnership's
financial statements, and prescribes a recognition threshold and
measurement attribute for financial statement recognition and
measurement of a tax position taken or expected to be taken.  The
2005 through 2008 tax years generally remain subject to
examination by U.S. federal and most state tax authorities.

4.  Financial Instruments
The Partnership trades Futures Interests.  Futures and forwards
represent contracts for delayed delivery of an instrument at a

<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

specified date and price.  Risk arises from changes in the value
of these contracts and the potential inability of counterparties
to perform under the terms of the contracts.  There are numerous
factors which may significantly influence the fair value of these
contracts, including interest rate volatility.

The fair value of exchange-traded contracts is based on the
settlement price quoted by the exchange on the day with respect
to which fair value is being determined.  If an exchange-traded
contract could not have been liquidated on such day due to the
operation of daily limits or other rules of the exchange, the
settlement price shall be the settlement price on the first
subsequent day on which the contract could be liquidated.  The
fair value of off-exchange-traded contracts is based on the fair
value quoted by the counterparty.


The Partnership?s contracts are accounted for on a trade-date
basis and marked to market on a daily basis.  The Partnership
accounts for its derivative investments in accordance with the
provisions of Statement of Financial Accounting Standards (?SFAS?)
No. 133, ?Accounting for Derivative Instruments and Hedging
Activities? (?SFAS No. 133?).  SFAS No. 133 defines a derivative
as a financial instrument or other contract that has all three of
the following characteristics:
<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

1)	One or more underlying notional amounts or payment
provisions;
2)	Requires no initial net investment or a smaller initial net
investment than would be required relative to changes in
market factors;
3)	Terms require or permit net settlement.

Generally, derivatives include futures, forward, swaps or options
contracts, and other financial instruments with similar
characteristics such as caps, floors, and collars.

The net unrealized gains (losses) on open contracts, reported as a
component of ?Trading Equity? on the Statements of Financial
Condition, and their longest contract maturities were as follows:
<table> <caption>
                    Unrealized Gains/(Losses)
                        on Open Contracts                Longest Maturities

                 Exchange-  Off-Exchange-             Exchange-  Off-Exchange-
Date              Traded      Traded       Total       Traded       Traded
                     $          $            $

	           <c>	       <c>	   <c>	      <c>	   <c>
Jun. 30, 2009	   - 	       158,705      158,705		-	Sep. 2009
Dec. 31, 2008	   - 	      (403,907)    (403,907)		-	Apr. 2009
</table>
The Partnership has credit risk associated with counterparty non-
performance.  As of the date of the financial statements, the
credit risk associated with the instruments in which the
Partnership trades is limited to the amounts reflected in the
Partnership?s Statements of Financial Condition.

<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

The Partnership also has credit risk because MS&Co. and/or MSCG
acts as the futures commission merchant or the counterparty, with
respect to most of the Partnership?s assets. Exchange-traded
futures, exchange-traded forward, and exchange-traded futures-
styled options contracts are marked to market on a daily basis,
with variations in value settled on a daily basis.  MS&Co., as a
commodity broker for the Partnership?s exchange-traded futures,
exchange-traded forward, and exchange-traded futures-styled
options contracts, is required, pursuant to regulations of the
Commodity Futures Trading Commission (?CFTC?), to segregate from
its own assets, and for the sole benefit of its commodity
customers, all funds held by it with respect to exchange-traded
futures, exchange-traded forward, and exchange-traded futures-
styled options contracts, including an amount equal to the net
unrealized losses on all open exchange-traded futures, exchange-
traded forward, and exchange-traded futures-styled options
contracts.  With respect to the Partnership?s off-exchange-traded
forward currency contracts and forward currency options contracts,
there are no daily settlements of variation in value, nor is there
any requirement that an amount equal to the net unrealized gains
(losses) on such contracts be segregated.  However, the
Partnership is required to meet margin requirements equal to the

<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

net unrealized loss on open forward currency contracts in the
Partnership accounts with the counterparty, which is accomplished
by daily maintenance of the cash balance in a custody account held
at MS&Co.  With respect to those off-exchange-traded forward
currency contracts, the Partnership is at risk to the ability of
MS&Co., the sole counterparty on all such contracts, to perform.
With respect to these off-exchange-traded forward currency options
contracts, the Partnership is at risk to the ability of MSCG, the
sole counterparty on all such contracts, to perform.  The
Partnership has a netting agreement with each counterparty.  These
agreements, which seek to reduce both the Partnership?s and the
counterparties? exposure on off-exchange-traded forward currency
contracts, including options on such contracts, should materially
decrease the Partnership?s credit risk in the event of MS&Co.?s or
MSCG?s bankruptcy or insolvency.


The futures, forwards and options traded by the Partnership
involve varying degrees of related market risk.  Market risk is
often dependent upon changes in the level or volatility of
interest rates, exchange rates, and prices of financial
instruments and commodities, factors that result in frequent
changes in the fair value of the Partnership?s open

<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

positions, and consequently in its earnings, whether realized or
unrealized, and cash flow.  Gains and losses on open positions of
exchange-traded futures, exchange-traded forward, and exchange-
traded futures-styled options contracts are settled daily through
variation margin.  Gains and losses on off-exchange-traded
forward currency contracts and forward currency options contracts
are settled upon termination of the contract.  However, the
Partnership is required to meet margin requirements equal to the
net unrealized loss on open forward currency contracts in the
Partnership accounts with the counterparty, which is accomplished
by daily maintenance of the cash balance in a custody account
held at MS&Co.

5.  Derivative Instruments and Hedging Activities
In March 2008, the FASB issued SFAS No. 161, ?Disclosures about
Derivative Instruments and Hedging Activities, an amendment of
FASB Statement No. 133? ("SFAS No. 161").  SFAS No. 161 is
intended to improve financial reporting about derivative
instruments and hedging activities by requiring enhanced
disclosures to enable investors to better understand how those
instruments and activities are accounted for; how and why they are
used; and their effects on a Partnership?s financial position,
financial performance, and cash flows.  SFAS No. 161 was effective

<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

as of January 1, 2009, for the Partnership.

The Partnership?s objective is to profit from speculative trading
in Futures Interests.  Therefore, the Trading Advisors for the
Partnership will take speculative positions in Futures Interests
where they feel the best profit opportunities exist for their
trading strategy.  As such, the absolute quantity (the total of
the open long and open short positions) has been presented as a
part of the volume disclosure, as position direction is not an
indicative factor in such volume disclosures.  In regards to
foreign currency forward trades, each notional quantity amount has
been converted to an equivalent contract based upon an industry
convention.

The following table summarizes the valuation of the Partnership?s
investments by the above SFAS No. 161 disclosure as of June 30,
2009 and reflects the contracts outstanding at such time.
<table> <caption>
The Effect of Trading Activities on the Statements of Financial Condition as of June 30, 2009:



Futures and Forward Contracts

      Long
          Unrealized
         Gain

       Long
L        Unrealized
       Loss

          Short
         Unrealized
           Gain

  Short
          Unrealized
          Loss

       Net
 Unrealized
 Gain/(Loss)

Total number
of outstanding
  contracts

$
   $
   $
    $
    $

June 30, 2009








         <c>
<c>
 <c>
 <c>
<c>
<c>
K   Foreign currency
           707,699
         (479,388)
      234,976
        (395,519)
      67,768
         3,671
K        Total
           707,699
         (479,388)
      234,976
        (395,519)
      67,768

K        Unrealized currency gain




 V        90,937

K        Total net unrealized gain
             on open contracts

-



     158,705

Options purchased, fair value
-
      17,771
-
    -


Options written, fair value
                -
          -
-
  (14,653)



</table>
<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)


The following tables summarize the net trading results of the
Partnership during the three and six month periods as required by
SFAS No. 161.
<table> <caption>
The Effect of Trading Activities on the Statements of Operations for the Three and Six Months Ended June 30, 2009 included in Total
Trading Results:

     For the Three Months
       For the Six Months

     Ended June 30, 2009
     Ended June 30, 2009

  $
  $
Type of Instrument




                <c>
             <c>
      Forward currency
           1,193,996
               (714,741)
K    Unrealized currency loss
        (25,610)
          (40,022)
K        Total
     1,168,386
        (754,763)
</table>
<table> <caption>
Line Items on the Statements of Operations for the Three and Six Months Ended June 30, 2009:

     For the Three Months
       For the Six Months

     Ended June 30, 2009
     Ended June 30, 2009

$
$
Trading Results




              <c>
               <c>
Realized
             (294,623)
            (1,319,959)
K    Net change in unrealized
     1,463,009
          565,196
K      Total Trading Results
     1,168,386
        (754,763)

</table>

6.  Fair Value Measurements
As defined by SFAS No. 157, ?Fair Value Measurements?, fair value
is the amount that would be recovered when an asset is sold or an
amount paid to transfer a liability, in an ordinary transaction
between market participants at the measurement date (exit price).
Market price observability is impacted by a number of factors,
including the types of investments, the characteristics specific
to the investment, and the state of the market (including the
existence and the transparency of transactions between market

<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

participants). Investments with readily available actively quoted
prices in an ordinary market will generally have a higher degree
of market price observability and a lesser degree of judgment used
in measuring fair value.

SFAS No. 157 requires use of a fair value hierarchy that
prioritizes the inputs to valuation techniques used to measure
fair value into three levels: Level 1 ? unadjusted quoted market
prices in active markets for identical assets and liabilities;
Level 2 - inputs other than unadjusted quoted market prices that
are observable for the asset or liability, either directly or
indirectly (including quoted prices for similar investments,
interest rates, credit risk); and Level 3 - unobservable inputs
for the asset or liability (including the Partnership?s own
assumptions used in determining the fair value of investments).

In certain cases, the inputs used to measure fair value may fall
into different levels of the fair value hierarchy.  In such cases,
an investment?s level within the fair value hierarchy is based on
the lowest level of input that is significant to the fair value
measurement.  The Partnership?s assessment of the significance of
particular input to the fair value measurement in its entirety
requires judgment, and considers factors specific to the
investment.
<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

The following tables summarize the valuation of the Partnership?s
investments by the above SFAS No. 157 fair value hierarchy as of
June 30, 2009 and December 31, 2008:
<table> <caption>
June 30, 2009



Assets
 Quoted Prices in
Active Markets for
  Identical Assets
        (Level 1)
  Significant Other
   Observable
       Inputs
     (Level 2)
Significant
  Unobservable
   Inputs
 (Level 3)




      Total


 <c>
<c>
 <c>

<c>
Net unrealized gain on open contracts
       ?
$158,705
 n/a

 $158,705
Options purchased
       ?
  $  17,771
 n/a

  $  17,771






Liabilities





Options written
       ?
 $  14,653
 n/a

 $  14,653
</table>
<table> <caption>
December 31, 2008



Assets
 Quoted Prices in
Active Markets for
  Identical Assets
        (Level 1)
  Significant Other
   Observable
       Inputs
     (Level 2)
Significant
  Unobservable
   Inputs
 (Level 3)




      Total


 <c>
<c>
 <c>

<c>
Net unrealized loss on open contracts
     -
        $ (403,907)
    n/a

 $ (403,907)
Options purchased
     -
 $         251
    n/a

 $         251






Liabilities





Options written
     -
 $         251
    n/a

 $         251
</table>
7.  Recent Accounting Pronouncements
  (a)	Determining Fair Value When the Volume and Level of Activity
    	for the Asset or Liability Have Significantly Decreased and
    	Identifying Transactions That Are Not Orderly

In April 2009, the FASB issued FASB Staff Position (?FSP?) SFAS No.
157-4, ?Determining Fair Value When the Volume and Level of
Activity for the Asset or Liability Have Significantly Decreased
and Identifying Transactions That Are Not Orderly? (?FSP SFAS No.

<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

157-4?). FSP SFAS No. 157-4 provides additional guidance for
determining fair value and requires new disclosures regarding the
categories of fair value instruments, as well as the inputs and
valuation techniques utilized to determine fair value and any
changes to the inputs and valuation techniques during the period.
FSP SFAS No. 157-4 is effective for the quarter ended June 30,
2009.  The adoption of FSP SFAS No. 157-4 did not have a material
impact on the Partnership?s financial statements.

(b)  Interim Disclosures about Fair Value of Financial Instruments
In April 2009, the FASB issued FSP SFAS No. 107-1 and Accounting
Principals Board (?APB?) No. 28-1, Interim Disclosures About Fair
Value of Financial Instruments (?FSP SFAS No. 107-1? and ?APB No.
28-1?).  The staff position requires fair value disclosures of
financial instruments on a quarterly basis, as well as new
disclosures regarding the methodology and significant assumptions
underlying the fair value measures and any changes to the
methodology and assumptions during the reporting period.  FSP SFAS
No. 107-1 and APB No. 28-1 are effective for the quarter ended June
30, 2009.  The adoption of FSP SFAS No. 107-1 and APB No. 28-1 did
not have a material impact on the Partnership?s financial
statements.


<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)


(c)  Subsequent Events

In May 2009, the FASB issued SFAS No. 165, Subsequent Events
(?SFAS No. 165?).  SFAS No. 165 establishes general standards of
accounting for and disclosure of events that occur after the
balance sheet date but before financial statements are issued or
are available to be issued.  It requires the disclosure of the
date through which an entity has evaluated subsequent events and
the basis for that date; that is, whether that date represents the
date the financial statements were issued or were available to be
issued.  SFAS No. 165 is effective for the quarter ended June 30,
2009.  Management has performed its evaluation of subsequent
events through August 12, 2009, the date these financial
statements were issued.

(d)  Accounting Standards Codification

On June 29, 2009, the FASB issued Statement No. 168, ?FASB
Accounting Standards Codification? and the Hierarchy of Generally
Accepted Accounting Principles ? a replacement of FASB Statement
No. 162.  The FASB has stated that ?the FASB Accounting Standards
Codification? (?Codification?) will become the source of
authoritative U.S. Generally Accepted Accounting Principles
(?GAAP?) recognized by the FASB to be applied by nongovernmental



<page> MORGAN STANLEY SPECTRUM CURRENCY L.P.
NOTES TO FINANCIAL STATEMENTS (CONCLUDED)

entities.  Once effective, the Codification?s content will carry
the same level of authority, effectively superseding Statement No.
162.  In other words, the GAAP hierarchy will be modified to
include only two levels of GAAP: authoritative and
nonauthoritative. Statement No. 168 is effective for financial
statements issued for interim and annual periods ending after
September 15, 2009.

8.  Restricted and Unrestricted Cash
As reflected on the Partnership?s Statements of Financial
Condition, restricted cash equals the cash portion of assets on
deposit to meet margin requirements plus the cash required to
offset unrealized losses on foreign currency forwards and options.
All of these amounts are maintained separately.  Cash that is not
classified as restricted cash is therefore classified as
unrestricted cash.

<page> Item 2. MANAGEMENT?S DISCUSSION AND ANALYSIS OF FINANCIAL
             CONDITION AND RESULTS OF OPERATIONS


Liquidity.  The Partnership deposits its assets with MS&Co. as its
commodity broker in separate futures, forward and options trading
accounts established for each Trading Advisor.  Such assets are
used as margin to engage in trading and may be used as margin
solely for the Partnership?s trading. The assets are held in either
non-interest bearing bank accounts or in securities and instruments
permitted by the CFTC for investment of customer segregated or
secured funds.  Since the Partnership?s sole purpose is to trade in
futures, forwards and options, it is expected that the Partnership
will continue to own such liquid assets for margin purposes.

The Partnership?s investment in futures, forwards and options may,
from time to time, be illiquid.  Most U.S. futures exchanges limit
fluctuations in prices during a single day by regulations referred
to as ?daily price fluctuations limits? or ?daily limits?.  Trades
may not be executed at prices beyond the daily limit.  If the price
for a particular futures or options contract has increased or
decreased by an amount equal to the daily limit, positions in that
futures or options contract can neither be taken nor liquidated
unless traders are willing to effect trades at or within the limit.
Futures prices have occasionally moved the daily limit for several
consecutive days with little or no trading.  These market
conditions could prevent the Partnership from promptly liquidating
<page> its futures or options contracts and result in restrictions
on redemptions.

There is no limitation on daily price moves in trading forward
contracts on foreign currencies.  The markets for some world
currencies have low trading volume and are illiquid, which may
prevent the Partnership from trading in potentially profitable
markets or prevent the Partnership from promptly liquidating
unfavorable positions in such markets, subjecting it to
substantial losses.  Either of these market conditions could
result in restrictions on redemptions.  For the periods covered by
this report, illiquidity has not materially affected the
Partnership?s assets.

There are no known material trends, demands, commitments, events,
or uncertainties at the present time that are reasonably likely to
result in the Partnership?s liquidity increasing or decreasing in
any material way.

Capital Resources.  The Partnership does not have, nor does it
expect to have, any capital assets.  Redemptions of units of
limited partnership interest (?Unit(s)?) in the future will affect
the amount of funds available for investments in futures, forwards
and options in subsequent periods. It is not possible to estimate
the amount, and therefore the impact, of future outflows of Units.
<page> There are no known material trends, favorable or
unfavorable, that would affect, nor any expected material changes
to, the Partnership?s capital resource arrangements at the present
time.

Off-Balance Sheet Arrangements and Contractual Obligations.  The
Partnership does not have any off-balance sheet arrangements, nor
does it have contractual obligations or commercial commitments to
make future payments that would affect its liquidity or capital
resources.

Results of Operations
General.  The Partnership?s results depend on the Trading Advisors
and the ability of each Trading Advisor?s trading program to take
advantage of price movements in the futures, forward and options
markets.  The following presents a summary of the Partnership?s
operations for the three and six month periods ended June 30, 2009
and 2008, and a general discussion of its trading activities
during each period. It is important to note, however, that the
Trading Advisors trade in various markets at different times and
that prior activity in a particular market does not mean that such
market will be actively traded by the Trading Advisors or will be
profitable in the future. Consequently, the results of operations
of the Partnership are difficult to discuss other than in the
context of the Trading Advisors? trading activities on behalf of
<page> the Partnership during the period in question. Past
performance is no guarantee of future results.

The Partnership?s results of operations set forth in the financial
statements on pages 2 through 23 of this report are prepared in
accordance with accounting principles generally accepted in the
United States of America, which require the use of certain
accounting policies that affect the amounts reported in these
financial statements, including the following: the contracts the
Partnership trades are accounted for on a trade-date basis and
marked to market on a daily basis.  The difference between their
original contract value and market value is recorded on the
Statements of Operations as ?Net change in unrealized trading
profit (loss)? for open (unrealized) contracts, and recorded as
?Realized trading profit (loss)? when open positions are closed
out. The sum of these amounts constitutes the Partnership?s
trading results. The market value of a futures contract is the
settlement price on the exchange on which that futures contract is
traded on a particular day.  The value of a foreign currency
forward contract is based on the spot rate as of the close of
business. Interest income, as well as management fees, incentive
fees, and brokerage fees expenses of the Partnership are recorded
on an accrual basis.

Demeter believes that, based on the nature of the operations of
the Partnership, no assumptions relating to the application of
<page> critical accounting policies other than those presently
used could reasonably affect reported amounts.

For the Three and Six Months Ended June 30, 2009
The Partnership recorded total trading results including interest
income totaling $1,185,103 and expenses totaling $1,192,167
resulting in a net loss of $7,064 for the three months ended June
30, 2009.  The Partnership?s net asset value per Unit was $10.72
on March 31, 2009, and $10.72 on June 30, 2009.

The most significant trading gains of approximately 1.3%, 1.2%,
0.6%, and 0.3%, respectively, were experienced, primarily during
April and May, from long positions in the Australian dollar, South
African rand, Brazilian real, and Russian ruble versus the U.S.
dollar as the value of the U.S. dollar moved lower against most of
its rivals after a government report showed U.S. employers cut
fewer jobs than forecasted, which reduced demand for the U.S.
dollar as a ?safe haven? currency.  Additionally, the Australian
dollar, South African rand, and Brazilian real moved higher amid
rising commodity prices.  A portion of the Partnership?s gains in
the second quarter was offset by losses of approximately 0.5%,
0.4%, 0.4%, and 0.3%, respectively, from short positions in the
euro, Polish zloty, Canadian dollar, and Japanese yen versus the
U.S. dollar as the value of the U.S. dollar moved lower during the
first half of the quarter due to the aforementioned optimism that
reduced the ?safe haven? demand for the U.S. currency.  Additional
<page> losses were recorded during June from long positions in the
euro, Canadian dollar, and Japanese yen versus the U.S. dollar as
the value of the U.S. dollar moved higher against these currencies
amid speculation that the U.S. Federal Reserve might raise
interest rates following news that U.S. payrolls fell less than
expected in May.  Smaller losses of 0.3% were recorded primarily
during May from short positions in the Swiss franc versus the U.S.
dollar as the value of the Swiss franc moved higher against the
U.S. dollar after better-than-expected economic data out of
Switzerland added to speculation that the Swiss economy might
rebound sooner than expected.

The Partnership recorded total trading results including interest
income totaling $(716,203) and expenses totaling $2,578,039,
resulting in a net loss of $3,294,242 for the six months ended
June 30, 2009. The Partnership?s net asset value per Unit
decreased from $11.16 at December 31, 2008, to $10.72 at June 30,
2009.

The most significant trading losses of approximately 1.0% were
incurred, primarily during January, from long positions in the
euro versus the U.S. dollar as the value of the euro moved lower
against the U.S. dollar on expectations the European Central Bank
would cut interest rates amid continued signs of a slowing economy
in the Euro-Zone. Further losses were recorded from short
positions in the euro versus the U.S. dollar as the value of the
<page> U.S. dollar moved lower in April after a government report
showed U.S. employers cut fewer jobs than forecast, which reduced
demand for the U.S. dollar as a ?safe haven? currency.  During
June, further losses were incurred from long positions in the euro
versus the U.S. dollar as the value of the U.S. dollar reversed
higher against these currencies amid speculation that the U.S.
Federal Reserve might raise interest rates following news that
U.S. payrolls fell less-than-expected in May.  Additional losses
of approximately 0.8% were incurred from long positions in the
Japanese yen versus the U.S. dollar as the value of the Japanese
yen moved lower against most of its rivals during January and
February due to speculation that the Bank of Japan might intervene
to weaken the currency, as well as on news that Japan?s trade
deficit substantially increased. Further losses were recorded
during March and May from newly established short positions in the
Japanese yen as the value of the Japanese yen reversed higher amid
optimism that demand for the Japanese currency would strengthen.
Losses were also experienced during June from long positions in
the Japanese yen versus the U.S. dollar as the value of the U.S.
dollar reversed higher amid the aforementioned speculation that
the U.S. Federal Reserve might raise interest rates following
better-than-expected U.S. economic data.  Smaller losses of 0.6%
were recorded from short positions in the Swiss franc versus the
U.S. dollar, primarily during March and May, as the value of the
Swiss franc moved higher against the U.S. dollar after better-
than-expected economic data out of Switzerland added to
<page> speculation that the Swiss economy might rebound sooner
than expected.  A portion of the Partnership?s losses in the first
six months of the year was offset by gains of approximately 1.2%
and 1.0%, respectively, primarily during April and May, from long
positions in the Australian dollar and South African rand versus
the U.S. dollar as the value of the U.S. dollar moved lower
against most of its rivals after a government report showed U.S.
employers cut fewer jobs than forecasted, which reduced demand for
the U.S. dollar as a ?safe haven? currency.  Additionally, the
Australian dollar and South African rand moved higher amid rising
commodity prices.  Smaller gains of 0.5% were achieved primarily
during January from short positions in the Russian ruble versus
the U.S. dollar as the value of the U.S. dollar increased against
the Russian ruble after a government report showed the U.S. trade
deficit narrowed by the largest amount in 12 years.  Further gains
were experienced during April and May, from long positions in the
Russian ruble versus the U.S. dollar as the value of the U.S.
dollar moved lower against the Russian ruble after the
aforementioned government report showed U.S. employers cut fewer
jobs than forecast.


For the Three and Six Months Ended June 30, 2008
The Partnership recorded total trading results including interest
income totaling $(4,658) and expenses totaling $1,883,188,
resulting in a net loss of $1,887,846 for the three months ended
June 30, 2008.  The Partnership?s net asset value per Unit <page>
decreased from $10.57 at March 31, 2008, to $10.39 at June 30,
2008.

The most significant trading losses of approximately 0.9% were
experienced primarily during April from short positions in the
South African rand versus the U.S. dollar as the value of the
South African rand increased amid stronger-than-expected economic
data out of South Africa.  Losses of approximately 0.6% and 0.6%,
respectively, were incurred primarily during April and May from
long positions in the Japanese yen and Swiss franc versus the U.S.
dollar as the value of the U.S. dollar moved higher against these
currencies after the U.S. Institute for Supply Management?s
manufacturing index unexpectedly moved higher and a U.S. economic
report showed private sector jobs unexpectedly increased in March.
Meanwhile, losses of approximately 0.6% were recorded throughout
the quarter from both long and short positions in the New Zealand
dollar against the U.S. dollar as the value of the New Zealand
dollar moved without consistent direction amid conflicting
economic data out of New Zealand.  Finally, losses of
approximately 0.3% were recorded primarily during April and June
from short positions in the British pound versus the U.S. dollar
as the value of the British pound increased amid speculation that
the Bank of England would slow the pace of interest rate cuts amid
concerns of accelerating global inflation.  A portion of the
Partnership?s losses in the second quarter was offset by gains of
approximately 0.9%, 0.8%, 0.7%, 0.5%, respectively, from long
<page> positions in the Brazilian real, Australian dollar, Mexican
peso, and euro versus the U.S. dollar as the value of the U.S.
dollar moved lower against these currencies during June after U.S.
industry reports showed the largest jump in unemployment in 20
years, consumer confidence at a 15-year low, and housing prices in
20 U.S. metropolitan areas at their lowest levels since records
began in 2001.  Additional gains of approximately 0.4% were
achieved during May from short positions in the Korean won versus
the U.S. dollar as the value of the Korean won fell amid concerns
of a rising Current-Account deficit out of Korea.  Elsewhere gains
of approximately 0.2% were experienced from short positions in the
Chilean peso versus the U.S. dollar primarily during June as the
value of the Chilean peso weakened against the U.S. dollar on
weaker-than-expected economic data out of Chile.

The Partnership recorded total trading results including interest
income totaling $9,516,402 and expenses totaling $3,707,533,
resulting in net income of $5,808,869 for the six months ended
June 30, 2008.  The Partnership?s net asset value per Unit
increased from $9.84 at December 31, 2007, to $10.39 at June 30,
2008.

The most significant trading gains of approximately 3.5%, 1.8%,
1.1%, and 1.1%, respectively, were experienced primarily during
January, February, March, and June, from long positions in the
euro, Australian dollar, Swiss franc, and Chilean peso versus the
<page> U.S. dollar as the value of the U.S. dollar weakened
against most of its major rivals after U.S. government reports
showed a rise in unemployment, weaker-than-expected U.S. retail
sales, and U.S. consumer confidence at a 16-year low.  The value
of the U.S. dollar continued to fall after the U.S. Federal
Reserve held interest rates steady at 2.0% despite rising
inflation.  Additional gains of approximately 1.3% were achieved
primarily during January, March, April, and May, from short
positions in the Korean won versus the U.S. dollar as the value of
the Korean won fell amid concerns of a rising Current-Account
deficit out of Korea.  A portion of the Partnership?s gains in the
first six months of the year was offset by losses of approximately
1.0%, recorded from short positions in the Japanese yen versus the
U.S. dollar as the value of the Japanese yen strengthened during
January after a decline in global equity markets and weaker-than-
expected U.S. economic data caused investors to reduce existing
carry trade positions.  Further losses were incurred from newly
established long positions in the Japanese yen versus the U.S.
dollar during February and April as the value of the Japanese yen
reversed lower following comments from the Bank of Japan that the
Japanese economy might be slowing.  Losses of approximately 0.6%
were incurred from both short and long positions in the New
Zealand dollar versus the U.S. dollar as the value of the New
Zealand dollar moved without consistent direction throughout the
first six months of the year due to conflicting economic data out
of New Zealand.  Finally, losses of approximately 0.5% were <page>
experienced from short positions in the British pound versus the
U.S. dollar as the value of the British pound strengthened against
the U.S. dollar during January, February, March, and April after
retail sales in the United Kingdom unexpectedly increased and
minutes from the Bank of England indicated the central bank had
significant concerns about rising inflation in the United Kingdom.

Item 3.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
Introduction
The Partnership is a commodity pool engaged primarily in the
speculative trading of futures, forwards and options.  The
market-sensitive instruments held by the Partnership are acquired
for speculative trading purposes only and, as a result, all or
substantially all of the Partnership?s assets are at risk of
trading loss.  Unlike an operating company, the risk of market-
sensitive instruments is inherent to the primary business
activity of the Partnership.

The futures, forwards and options on such contracts traded by the
Partnership involve varying degrees of related market risk.
Market risk is often dependent upon changes in the level or
volatility of interest rates, exchange rates, and prices of
financial instruments and commodities, factors that result in
frequent changes in the fair value of the Partnership?s open
positions, and consequently in its earnings, whether realized or
unrealized, and cash flow.  Gains and losses on open positions of
<page> exchange-traded futures, exchange-traded forward, and
exchange-traded futures-styled options contracts are settled
daily through variation margin.  Gains and losses on off-
exchange-traded forward currency contracts and forward currency
options contracts are settled upon termination of the contract.
However, the Partnership is required to meet margin requirements
equal to the net unrealized loss on open forward currency
contracts in the Partnership accounts with the counterparty,
which is accomplished by daily maintenance of the cash balance in
a custody account held at MS&Co.

The Partnership?s total market risk may increase or decrease as
it is influenced by a wide variety of factors, including, but not
limited to, the diversification among the Partnership?s open
positions, the volatility present within the markets, and the
liquidity of the markets.

The face value of the market sector instruments held by the
Partnership is typically many times the applicable margin
requirements.  Margin requirements generally range between 2% and
15% of contract face value.  Additionally, the use of leverage
causes the face value of the market sector instruments held by
the Partnership to typically be many times the total
capitalization of the Partnership.

<page> The Partnership?s past performance is no guarantee of its
future results.  Any attempt to numerically quantify the
Partnership?s market risk is limited by the uncertainty of its
speculative trading.  The Partnership?s speculative trading and
use of leverage may cause future losses and volatility (i.e.,
?risk of ruin?) that far exceed the Partnership?s experience to
date under the ?Partnership?s Value at Risk in Different Market
Sectors? section and significantly exceed the Value at Risk
(?VAR?) tables disclosed.

Limited partners will not be liable for losses exceeding the
current net asset value of their investment.

Quantifying the Partnership?s Trading Value at Risk
The following quantitative disclosures regarding the
Partnership?s market risk exposures contain "forward-looking
statements" within the meaning of the safe harbor from civil
liability provided for such statements by the Private Securities
Litigation Reform Act of 1995 (set forth in Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934).  All quantitative disclosures in this section are
deemed to be forward-looking statements for purposes of the safe
harbor, except for statements of historical fact.

<page> The Partnership accounts for open positions on the basis
of mark to market accounting principles.  Any loss in the market
value of the Partnership?s open positions is directly reflected
in the Partnership?s earnings and cash flow.

The Partnership?s risk exposure in the market sectors traded by
the Trading Advisors is estimated below in terms of VaR.  The
Partnership estimates VaR using a model based upon historical
simulation (with a confidence level of 99%) which involves
constructing a distribution of hypothetical daily changes in the
value of a trading portfolio.  The VaR model takes into account
linear exposures to risk including equity and commodity prices,
interest rates, foreign exchange rates, and correlation among
these variables. The hypothetical changes in portfolio value are
based on daily percentage changes observed in key market indices
or other market factors (?market risk factors?) to which the
portfolio is sensitive. The one-day 99% confidence level of the
Partnership?s VaR corresponds to the negative change in portfolio
value that, based on observed market risk factors, would have
been exceeded once in 100 trading days, or one day in 100. VaR
typically does not represent the worst case outcome.  Demeter
uses approximately four years of daily market data (1,000
observations) and re-values its portfolio (using delta-gamma
approximations) for each of the historical market moves that
occurred over this time period.  This generates a probability
distribution of daily ?simulated profit and loss? outcomes.  The
<page> VaR is the appropriate percentile of this distribution.
For example, the 99% one-day VaR would represent the 10th worst
outcome from Demeter?s simulated profit and loss series.

The Partnership?s VaR computations are based on the risk
representation of the underlying benchmark for each instrument or
contract and do not distinguish between exchange and non-exchange
dealer-based instruments.  They are also not based on exchange
and/or dealer-based maintenance margin requirements.

VaR models, including the Partnership?s, are continually evolving
as trading portfolios become more diverse and modeling techniques
and systems capabilities improve.  Please note that the VaR model
is used to numerically quantify market risk for historic
reporting purposes only and is not utilized by either Demeter or
the Trading Advisors in their daily risk management activities.
Please further note that VaR as described above may not be
comparable to similarly-titled measures used by other entities.

The Partnership?s Value at Risk in Different Market Sectors
The following table indicates the VaR associated with the
Partnership?s open positions as a percentage of total Net Assets
by primary market risk category at June 30, 2009 and 2008. At
June 30, 2009 and 2008, the Partnership?s total capitalization
was approximately $70 million and $98 million, respectively.


<page>
Primary Market	        June 30, 2009	     June 30, 2008
Risk Category		   Value at Risk		Value at Risk
Currency				  (0.76)%			    (1.12)%

The VaR for a market category represents the one-day downside
risk for the aggregate exposures associated with this market
category.  Because the business of the Partnership is the
speculative trading of futures, forwards and options on such
contracts, the composition of its trading portfolio can change
significantly over any given time period, or even within a single
trading day. Such change could positively or negatively
materially impact market risk as measured by VaR.

The table below supplements the quarter-end VaR set forth above
by presenting the Partnership?s high, low, and average VaR, as a
percentage of total Net Assets for the four quarter-end reporting
periods from July 1, 2008 through June 30, 2009.

Primary Market Risk Category        High      Low      Average
Currency 						(1.12)%	(0.16)%	(0.61)%

Limitations on Value at Risk as an Assessment of Market Risk
VaR models permit estimation of a portfolio?s aggregate market
risk exposure, incorporating a range of varied market risks,
reflect risk reduction due to portfolio diversification or
hedging activities, and can cover a wide range of portfolio
<page> assets.  However, VaR risk measures should be viewed in
light of the methodology?s limitations, which include, but may
not be limited to the following:
*	past changes in market risk factors will not always result in
accurate predictions of the distributions and correlations of
future market movements;
*	changes in portfolio value caused by market movements may
differ from those of the VaR model;
*	VaR results reflect past market fluctuations applied to
current trading positions while future risk depends on future
positions;
*	VaR using a one-day time horizon does not fully capture the
market risk of positions that cannot be liquidated or hedged
within one day; and
*	the historical market risk factor data used for VaR
estimation may provide only limited insight into losses that
could be incurred under certain unusual market movements.

In addition, the VaR tables above, as well as the past performance
of the Partnership, give no indication of the Partnership?s
potential "risk of ruin".

The VaR tables provided present the results of the Partnership?s
VaR for its market risk exposure at June 30, 2009 and 2008, and
for the four quarter-end reporting periods from July 1, 2008
through June 30, 2009.  VaR is not necessarily representative of
<page> the Partnership?s historic risk, nor should it be used to
predict the Partnership?s future financial performance or its
ability to manage or monitor risk.  There can be no assurance
that the Partnership?s actual losses on a particular day will not
exceed the VaR amounts indicated above or that such losses will
not occur more than once in 100 trading days.

Non-Trading Risk
The Partnership has non-trading market risk on its foreign cash
balances.  These balances and any market risk they may represent
are immaterial.

The Partnership also maintains a substantial portion of its
available assets in cash at MS&Co.; as of June 30, 2009, such
amount was equal to approximately 102% of the Partnership?s net
asset value.  A decline in short-term interest rates would result
in a decline in the Partnership?s cash management income. This
cash flow risk is not considered to be material.

Materiality, as used throughout this section, is based on an
assessment of reasonably possible market movements and any
associated potential losses, taking into account the leverage,
optionality, and multiplier features of the Partnership?s market-
sensitive instruments, in relation to the Partnership?s Net
Assets.

<page>
Qualitative Disclosures Regarding Primary Trading Risk Exposures
The following qualitative disclosures regarding the Partnership?s
market risk exposures - except for (A) those disclosures that are
statements of historical fact and (B) the descriptions of how the
Partnership manages its primary market risk exposures -
constitute forward-looking statements within the meaning of
Section 27A of the Securities Act and Section 21E of the
Securities Exchange Act.  The Partnership?s primary market risk
exposures, as well as the strategies used and to be used by
Demeter and the Trading Advisors for managing such exposures, are
subject to numerous uncertainties, contingencies and risks, any
one of which could cause the actual results of the Partnership?s
risk controls to differ materially from the objectives of such
strategies. Government interventions, defaults and
expropriations, illiquid markets, the emergence of dominant
fundamental factors, political upheavals, changes in historical
price relationships, an influx of new market participants,
increased regulation, and many other factors could result in
material losses, as well as in material changes to the risk
exposures and the risk management strategies of the Partnership.

The Trading Advisors, in general, tend to utilize their trading
system(s) to take positions when market opportunities develop,
and Demeter anticipates that the Trading Advisors will continue
to do so.
<page>
Investors must be prepared to lose all or substantially all of
their investment in the Partnership.

The following was the only trading risk exposure of the
Partnership at June 30, 2009.  It may be anticipated, however,
that market exposure will vary materially over time.

Currency.  The Partnership?s currency market exposure at June 30,
2009, was to exchange rate fluctuations, primarily fluctuations
which disrupt the historical pricing relationships between
different currencies and currency pairs.  Interest rate changes,
as well as political and general economic conditions influence
these fluctuations.  At June 30, 2009, the Partnership?s major
exposures were to the Australian dollar, Japanese yen, euro,
Norwegian krone, British pound, Canadian dollar, New Zealand
dollar, Swiss franc, Swedish krona, Czech koruna, Danish krone,
Hungarian forint, Polish zloty, and Mexican peso currency
crosses, as well as to outright U.S. dollar positions.  Outright
positions consist of the U.S. dollar vs. other currencies.  These
other currencies include major and minor currencies.  Demeter
does not anticipate that the risk associated with the
Partnership?s currency trades will change significantly in the
future.


<page>
Qualitative Disclosures Regarding Non-Trading Risk Exposure
The following was the only non-trading risk exposure of the
Partnership at June 30, 2009:

Foreign Currency Balances.  The Partnership?s primary
foreign currency balances at June 30, 2009, were in euros,
British pounds, Japanese yen, Swedish kronor, Australian
dollars, Swiss francs, Hungarian forint, Mexican pesos,
Norwegian kroner, New Zealand dollars, Canadian dollars,
Turkish lire, Czech koruny, South African rands, Polish
zlotych, Israeli shekels, Singapore dollars, Hong Kong
dollars, and Danish krone.  The Partnership controls the
non-trading risk of foreign currency balances by regularly
converting them back into U.S. dollars upon liquidation of
their respective positions.

Qualitative Disclosures Regarding Means of Managing Risk Exposure
The Partnership and the Trading Advisors, separately, attempt to
manage the risk of the Partnership?s open positions in
essentially the same manner in all market categories traded.
Demeter attempts to manage market exposure by diversifying the
Partnership?s assets among different trading approaches through
the selection of Commodity Trading Advisors and by daily
monitoring their performance.  In addition, the Trading Advisors
establish diversification guidelines, often set in terms of the
<page> maximum margin to be committed to positions in any one
market sector or market-sensitive instrument.

Demeter monitors and controls the risk of the Partnership?s non-
trading instrument, cash.  Cash is the only Partnership
investment directed by Demeter, rather than the Trading Advisors.

Item 4.	CONTROLS AND PROCEDURES
As of the end of the period covered by this quarterly report, the
President and Chief Financial Officer of Demeter, the general
partner of the Partnership, have evaluated the effectiveness of
the Partnership?s disclosure controls and procedures (as defined
in Rules 13a-15(e) and 15d-15(e) of the Exchange Act), and have
judged such controls and procedures to be effective.

Changes In Internal Control Over Financial Reporting
There have been no material changes during the period covered by
this quarterly report in the Partnership?s internal control over
financial reporting (as defined in Rules 13a-15(f) and 15d-15(f)
of the Exchange Act) or in other factors that could significantly
affect these controls subsequent to the date of their evaluation.

Limitations on the Effectiveness of Controls

Any control system, no matter how well designed and operated, can
provide reasonable (not absolute) assurance that its objectives will
be met.  Furthermore, no evaluation of controls can provide absolute
<page> assurance that all control issues and instances of fraud, if
any, have been detected.

Item 4T.	CONTROLS AND PROCEDURES
Not applicable.





















<page> PART II.  OTHER INFORMATION
Item 1A. RISK FACTORS
There have been no material changes from the risk factors previously
referenced in the Partnership?s Report on Form 10-K for the fiscal
year ended December 31, 2008, and the Partnership?s Report on Form
10Q for the quarter ended March 31, 2009.


Item 6.  EXHIBITS
31.01	Certification of President of Demeter Management LLC, the
general partner of the Partnership, pursuant to Section
302 of the Sarbanes-Oxley Act of 2002.
31.02	Certification of Chief Financial Officer of Demeter
Management LLC, the general partner of the Partnership,
pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.01	Certification of President of Demeter Management LLC, the
general partner of the Partnership, pursuant to 18 U.S.C.
Section 1350, as adopted pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002.
32.02	Certification of Chief Financial Officer of Demeter
Management LLC, the general partner of the Partnership,
pursuant to 18 U.S.C. Section 1350, as adopted pursuant to
Section 906 of the Sarbanes-Oxley Act of 2002.


<page>








SIGNATURE



Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned thereunto duly authorized.



                        Morgan Stanley Spectrum Currency L.P.
                        (Registrant)

                        By:   Demeter Management LLC
                              (General Partner)

August 12, 2009        By:/s/ Christian Angstadt
                               Christian Angstadt
                               Chief Financial Officer





The General Partner which signed the above is the only party
authorized to act for the Registrant.  The Registrant has no
principal executive officer, principal financial officer,
controller, or principal accounting officer and has no Board of
Directors.

















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