American focus: the euro continue to decrease
The euro fell to the lowest level in two months versus the dollar as Moody’s Investors Service said it will review the ratings of European Union nations after last week’s summit failed to produce decisive steps to end the debt crisis. Italian bonds slid as the nation sold 7 billion euros ($9.3 billion) of one-year bills to yield 5.95 percent, compared with an average 2.70 percent in the past five years. The securities fell even after the European Central Bank was said to have bought the nation’s debt. Italy has to repay about 53 billion euros in the first quarter, about a third of the region’s maturing bonds. The euro fell 1.5 percent to $1.3235 at 11:55 a.m. in New York, the lowest level since Oct. 4.
The dollar and yen strengthened against a majority of their most-traded counterparts as investors sought safer assets on concern crisis-fighting efforts are failing to stop European borrowing costs from rising.