(RTTNews) - The dollar was mixed on Monday, as traders flocked to safe havens following a ratings downgrade on U.S. debt from Standard & Poor's.
Late Friday, S&P downgraded U.S. sovereign credit rating by one notch to 'AA+' from 'AAA' with a negative outlook. The country had enjoyed the pristine triple A rating for the last 70 years.
Fitch and Moody's still have a "AAA" rating for the U.S.
The move sparked a flock to safety, driving gold to fresh record highs above $1700 an ounce. The dollar was stable, boosted by its status as the world's de facto reserve currency.
The dollar rose against the euro this morning. ECB President Jean- Claude Trichet said Sunday that the bank will "actively implement" its bond buying program, suggesting that ECB is ready to buy both Italian and Spanish bonds.
The buck drifted slightly lower to 77.76 versus the yen, on its way back toward last week's record low of 76.28. A second intervention by Japanese authorities to weaken the yen appears not to have had its intended effect.
A fresh record low was reached against the Swiss franc overnight, with the dollar sliding to CHF 0.7525 before picking up a penny.
On the other hand, the dollar strengthened versus its petro-linked Canadian counterpart as the price of oil tumbled toward $83 a barrel. The dollar was up to C$0.9874 against the loonie.
Looking ahead on the U.S. economic calendar, the Commerce Department's retail sales report for July, the weekly jobless claims report and the Reuters/University of Michigan's preliminary consumer sentiment reading for August are also among the market moving events this week.
