Close to $1.20, the euro climbed to a two-and-a-half-year high against the dollar in thin trade yesterday, extending gains made at the end of last week, writes Sam Forgione

The euro rallied and bonds retreated from last week’s record low yields yesterday, as speculation increased that authorities will seek greater fiscal integration in the eurozone.

GLOBAL stocks and copper prices fell from recent highs yesterday after weak data from China reinforced concerns about the global economy, while the euro dipped on lagging worries over the European debt crisis.

Eurozone leaders are working on a draft proposal in Brussels, under which Ireland looks set to benefit from a cheaper interest rate on its EU loan, and a longer term to pay off the debt.