LONDON — The euro plunged under 1.21 dollars here on Friday, hitting a new four-year low, as traders fretted over contagion from the eurozone debt crisis, before publication of key US data.
At about 1150 GMT, the European single currency tumbled as low as 1.2038 dollars, touching a low point which was last seen on April 3, 2006.
"After a few days out of the spotlight, the European sovereign debt crisis is back centre stage," GFT analyst David Morrison told AFP, citing contagion fears about Hungary and Romania.
"The foreign exchange markets have gone wild, just when everyone had their feet on the desks waiting for US non-farm payrolls data."
The euro was also hit by vague market rumours that French bank Societe Generale had made losses in derivatives trading.
A Societe Generale source told AFP that it did not comment on market speculation, adding it would have said something if there was anything to reveal.
