U.S. Dollar Continues To Fall Against Euro; Hits New Low Monday

October 22, 2007 8:16 p.m. EST

New York, NY (AHN) - The United States dollar (USD) continues to decline on the international currency exchange, falling to a new low against the European Union's euro (EUR). A Friday sell-off on Wall Street was reflected in a fall in the dollar's value on Monday.

The euro hit a record intraday high of $1.4348, while the Japanese yen (JPY) also hit a six-week high against the dollar.

The U.S. Federal Reserve could also hurt the dollar's worth abroad if it decides to issue another interest rate cut when the board meets at the end of October.

Meanwhile, as European nations within the Eurozone continue to cut back on budget deficits, the European Central Bank (ECB) has maintained its interest rate and kept its currency stable.

The U.S. has been forced to deal with a painful slump in the home lending market, which has affected several other sectors in the national economy.