Euro falls to 11-week low against dollar

AP News

3/1/2013 4:26:54 PM - AP News

NEW YORK (AP) — Positive manufacturing data from the U.S. and rising unemployment in Europe pushed the euro to an 11-week low against the dollar.

The British pound fell to a 2-year-low against the dollar on concerns about the United Kingdom's economy.

The euro fell to $1.3017 late Friday from $1.3063 late Thursday. The euro fell as low as $1.2965, its lowest point since Dec. 11.

U.S. manufacturing expanded in February at the fastest pace since June 2011. The Institute for Supply Management said that its index of factory activity rose in February to 54.2, up from January's reading of 53.1. A reading above 50 indicates expansion.

In Europe, official figures showed that unemployment across the 17 European countries that use the euro rose to 11.9 percent in January from 11.8 percent in December.

The British pound fell to $1.5018 from $1.5173. Earlier Friday, the pound fell as low as $1.4984, its lowest point against the dollar since July 2010. Britain's currency has been under pressure since Moody's downgraded the U.K.'s credit rating last week.

In other trading, the dollar rose to 93.58 Japanese yen from 92.69 Japanese yen.

The dollar fell to 0.9436 Swiss franc from 0.9367 Swiss franc and to $1.0285 Canadian dollar from 1.0299 Canadian dollar.