Dollar Slips To Four Month low On Economy Concerns

The dollar fell to a four month low against the euro before reports this week on consumer confidence and employment that may show the US economy is rebounding slower than analysts previously expected. The dollar was trading at 90.34 cents per euro, its weakest level since January 3rd, from 89.97 on late Friday trading. It dropped to 127.94 yen per dollar, from 128.08. The US currency has fallen by three and a half percent against the euro and 3.6 percent against the yen this month. Markets in Japan were closed for a public holiday yesterday. “There's a lot of gloom about the prospects for the US economy,” said Thanos Papasavvas, a fund manager in the global currency group at Credit Suisse Asset Management, which oversees $270 billion. “People aren't clear about the economy's path.” The Conference Board's April consumer-confidence report, due to be released tomorrow, is expected to show a decline from March's seven month high. The University of Michigan's gauge of American consumer confidence for April fell to a new two month low, figures on Friday showed.