WS: Euro, yen stronger versus dollar; volatile versus franc after Swiss bank moves to stanch climb
NEW YORK — The dollar is falling on worries that credit ratings agencies will downgrade U.S. debt.
Lawmakers managed to pass a deal earlier this week to raise the debt limit and avoid a government default. But the planned spending cuts in the package might not be enough to allay Standard & Poor’s and other agencies.
The U.S. currently holds the top triple-A rating.
In morning trading Wednesday in New York, the euro rose to $1.43 from $1.4201, even as investors remain concerned about Europe’s debt crisis spreading to Spain and Italy. The dollar is also losing ground against the British pound and the Japanese yen.
The dollar was volatile versus the Swiss franc after Switzerland’s central bank moved to curb its currency’s climb. The dollar first jumped but has since surrendered most of the gain.
Copyright 2011 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
