Dollar weakens versus euro for sixth straight session

The US dollar was weaker in relation to the euro for the sixth session in a row on Friday as unrest continued in Pakistan and as a Commerce Department report showed that new home sales were down by 9 percent in November, convincing many analysts that another US interest rate cut is coming soon from the Federal Reserve.

The greenback was trading at €1.4710 to the dollar just past noon in New York.

Its biggest losses on the day came against the Swiss franc where it traded at SFr1.1274 to the dollar, and the South African rand, at R6.8185 to the dollar.

The pound also weakened against the euro, trading at 73.86p to the euro in New York on dropping house prices that could induce the Bank of England to cut interest rates again soon.

The Swiss franc was higher in relation to all 16 major currencies as investors continued shun risk in the wake of yesterday’s assassination of Benazir Bhutto in Pakistan, with the Swiss currency trading at SFr1.6585 to the euro and at SFr2.2454 to the pound.

The yen was stronger in relation to the US dollar and the pound, also on risk aversion.

The yen traded at ¥112.9500 to the dollar and at ¥224.9453 to the pound.

Story link: Dollar weakens versus euro for sixth straight session