Euro nears all-time high against dollar

IN trading yesterday the euro rose to $1.3664, just a fraction short of its all-time high in December 2004.

Adam Meyers, economist with UBS, attributed the ongoing slump in the greenback to the continuing difficulties in the US housing market which is now raising fears about future growth prospects for the world’s largest economy.

Investors now expect the US Federal Reserve will cut rates in a move to boost consumer demand and keep the economy from slowing further.