Euro Reaches 2-Month High Versus Yen as Draghi Sets Bond Buying
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The euro rose to the strongest in two months against the yen after the European Central Bank President Mario Draghi announced a bond-purchase plan to cap borrowing costs in the area’s most-indebted nations.
The dollar fell against higher-yielding currencies before a report tomorrow that may show the pace of hiring in the U.S. slowed in August, adding to evidence the Federal Reserve will initiate a third round of bond purchases. The 17-nation euro weakened earlier against the U.S. currency after the ECB forecast a deeper economic contraction this year. Sweden’s krona weakened after the central bank cut interest rates.