Euro tumbles vs dollar, hits record low vs Swiss franc
NEW YORK: The euro shed more than 1 percent against the dollar and hit an all-time low against the Swiss franc as anxiety about Greece and the pace of US growth hurt investor risk appetite and encouraged a bid for safety.
The euro fell 1.3 percent to $1.4151, its lowest level in nearly a week and also hit a fresh record low at 1.1873 Swiss francs.
Traders said risk-averse investors were favoring the dollar amid fears about the euro zone debt crisis and after the Federal Reserve cut its US growth forecast on Wednesday.
"The euro nose-dived after (Fed Chairman Ben) Bernanke indicated yesterday there were no plans for QE3, and traders are trying to see how far they can extend this correction," said Michael Woolfolk, senior strategist at BNY Mellon.
Lingering worries about Greece's pending vote on fiscal austerity were also hurting equities and commodities, he said, which pushed investors into the safety of the Swiss franc.
Copyright Reuters, 2011
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