Dollar falls on concern over manufacturing growth
Concern that high interest rates in the United States are hampering the country's manufacturing output has seen the dollar fall and many predict it will continue to do so today.
This morning the dollar traded at 1.2617 against the euro and at 1.8457 against the pound.
Traders are expecting a interest rate rise from the US Federal Reserve as a reaction to higher levels of inflation in recent months but the fall in manufacturing output has restricted the growth of the economy.
"There are concerns that the Fed is over-tightening,'' Ryohei Muramatsu, a manager of Group Treasury Asia at Commerzbank, told Bloomberg.
"This is bad for the dollar.''
Meanwhile, in the UK, standard Life will today release details of its flotation plans.
The initial public offering (IPO), the largest since 2001, is expected to see the share price range drop by as much as ten per cent from the 240p to 290p suggested in April following the news that Credit Suisse will remove the listing of its insurance arm, Winterthur.