Greenback in new low versus euro

Story link: Greenback in new low versus euro

The US dollar fell even lower versus the euro by midday in London on Monday as investors expect that the US Federal Reserve will cut interest rates even more in the near term.

Early in the session, the greenback fell to a new low against the shared currency at $1.4130 and while it took back some of the losses it still was 0.1 percent lower to $1.4105.

The dollar was also down 0.1 percent in relation to the Swiss franc, to SFr1.1715, while it dropped 0.3 percent to $2.0250 against sterling and fell 0.4 percent to ¥115.05 against the yen.

News that Yasuo Fukuda will become prime minister in the wake of the resignation of Shinzo Abe sent the yen higher, despite growing calls for snap elections that could end the Liberal Democratic Party’s control of the lower house of parliament.

The yen added 0.1 percent to ¥232.85 in relation to sterling while it added 0.3 percent to ¥162.20 versus the euro as rumors circulated that interest rates could rise as soon as October or November.

Sterling was higher against the euro, adding 0.2 percent to £0.6964.