Talk of Large Interest Rate Cut Sends Dollar Lower

New York, NY, March 10, 2008--The dollar continues to fall against the euro and neared an eight-year low versus the yen as currency traders bet the Federal Reserve will lower interest rates by at least 75 basis points to avert a recession.

The dollar fell to 101.95 yen in London, from 102.67 yen on March 7, when it slid to 101.43, the lowest since January 2000. It fell to $1.5378 per euro, from $1.5355 at the end of last week, when it declined to $1.5459 a euro, the weakest level since the European single currency's debut in 1999.

Futures on the Chicago Board of Trade show traders see a 94 percent chance of a three-quarter point cut.