05 Feb '11, 12am

Dollar gains a third day straight on euro

NEW YORK - The dollar gained for a third straight day on the euro after eurozone officials played down the inflation threat and traders remained cautious over the political turmoil in Egypt. At 2200 GMT the euro bought $1.3583 compared to $1.3630 the same time Thursday. The dollar picked up against the Japanese currency as well, trading to 82.19 yen from 81.59 yen a day earlier. The dollar's strength came after a long runup by the euro since December, and followed a meeting by the European Central Bank Thursday after which bank president Jean-Claude Trichet indicated that they were less concerned about inflation than earlier thought -- and that any rate hike would come later in the year. "Most people felt Trichet toned down his inflation concerns and any indication that interest rates need to rise," said David Gilmore of Foreign Exchange Analytics. The uprising in Egypt al...

Full article: http://www.channelnewsasia.com/stories/afp_world_business...

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