Euro hits three-month high as Fed easing prospects weigh on dollar

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Euro hits three-month high as Fed easing prospects weigh on dollar
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The euro rose to a three-month high against the dollar on Monday, as bearish bet...

TOKYO - The euro rose to a three-month high against the dollar on Monday, as bearish bets on the U.S. currency remained solid on prospects of a near-term interest rate cut by the Federal Reserve.

The dollar index versus a basket of six major currencies was a shade lower at 96.135, having struck 96.093 on Friday, its lowest since March 21, after the Fed last week opened the door for a potential rate cut as early as next month. “But the ECB already employs a negative interest rate policy and does not have much further room to ease even if they wanted to, unlike the Fed. It is factors like these which have seemingly supported the euro.”

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