Euro weaker before Greenspan address

The euro fell today as the market turned its attention to US corporate results and a speech by US Federal Reserve chairman Mr…

The euro fell today as the market turned its attention to US corporate results and a speech by US Federal Reserve chairman Mr Alan Greenspan tonight.

The single European currency slid to 0.9033 dollars from 0.9082 overnight, while the dollar bought 121.68 yen from 121.26 yen earlier.

The pound sterling meanwhile bucked up after labour market data was more benign than expected and after Bank of England experts revealed that their two latest interest rate cuts had been unanimous decisions, raising hopes for more cuts before year-end.

But the foreign exchange market focus is shifting back towards the United States, where corporate giants are preparing their third-quarter results and Mr Greenspan was preparing to unveil his latest reading of the economic situation.

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If corporate results come in weaker than expected, the US equity market is likely to suffer, piling further pressure on the dollar, analysts said.