LONDON (SHARECAST) - The dollar perked up against the euro but fell to an all time low against the Swiss franc as investors sought safe haven assets.
The dollar fell to a record low of around 0.8615 francs as concern about retaliation, following Osama bin Laden's death, rattled markets. The greenback also fell below 81 yen as investors sought the safety in the Japanese currency.
The yen was up against most rivals except the Swiss franc amid strong safe haven flows.
The euro fell to $1.4824 from $1.4831 despite reports that Portugal has negotiated an international bailout to the tune of €78bn.
Meanwhile the dollar index, which measures the US currency against a basket of six others, rose to 0.2% to 73.108.
The pound suffered the biggest rout Tuesday, falling to its lowest level since March last year against the euro as markets digested weaker than expected UK manufacturing data.
The headline seasonally adjusted Markit/CIPS UK Manufacturing Purchasing Managers’ Index fell to a seven-month low of 54.6 in April. The figures reduced expectations that the Bank of England will increase interest rates in the short term. The pound was down at $1.6483 from $1.6658
The Australian dollar fell for the second day running against the US dollar after The Reserve Bank of Australia left its benchmark interest rate unchanged.
