Early trade in New York: euro plunges versus dollar

The euro tumbled against the dollar on Friday, coming closer to a 16-month low hit earlier in the week, as fears about an imminent downgrade of euro zone countries and a lacklustre sale of Italian debt had investors betting against the common currency. The euro hit a low of $1.2684 and last traded at $1.2692, down 1 percent on the day, according to Reuters data. It remained within sight of Wednesday's 16-month low of $1.2661.
The euro was down 0.8 percent at 97.66 yen, not far from this week's 11-year low of 97.28. The dollar, meanwhile, was 0.3 percent higher against the yen at 76.94 yen.