LONDON, 17 July 2004 — The dollar took a tumble here yesterday, falling to a four-month low against the euro in response to weak US economic data. The single European currency in late-day trade was at 1.2442 dollars against 1.2351 late Thursday in New York.
The dollar was meanwhile trading at 108.73 yen, down from 109.76 on Thursday.
The dollar initially fell following the release of weak US consumer price inflation numbers and then began to test lows after data from the Treasury showed a decline of almost $20 billion in asset inflows.
The greenback lost more ground after the University of Michigan consumer sentiment data came in weaker than expected. The euro rose to a high of 1.2462 against the dollar, its highest since March, before falling back and settling around the 1.245 level.
Meanwhile, European stock markets closed little changed yesterday as concerns about the outlook for company profits and high oil prices weighed on sentiment.
In London the FTSE 100 index nudged 0.03 percent lower to finish at 4,339.2, in Paris the CAC 40 slipped 0.15 percent to 3,610.40 while in Frankfurt the DAX eased 0.03 percent to end the week at 3,845.93.
The DJ Euro Stoxx 50 index of leading euro zone shares was 0.09 percent lower at 2,713.27 points.
US blue chips rose yesterday.
Asian stock markets were mostly lower yesterday.