Euro reaches new high as dollar takes a hammering

The euro has risen to an all time high of $1.24 in thinning pre-Christmas trading conditions in the United States.

It is the 12th high in 14 trading days. The dollar also fell to a low against the Swiss Franc of SF1.2514, the lowest level it has been since 1996.

Sterling has also risen to reach an 11 year high against the most powerful currency in the world. It is now trading at $1.7624.

Analysts believe that the European Central Bank's decision not to intervene to try and curb the euro's rise is itself fueling the upward gains.