The euro broke above the $1.55 level for the first time in early North American trading, and peaked at $1.5524 -- its highest level since the European unit began trading in January 1999.
The dollar also sank inversely to crude-oil futures, which hit a record high of $110.20 a barrel Wednesday. See Futures Movers.
Crude oil is traded in dollars. As the dollar declines in value, so does the price of oil in non-dollar terms, making it more appealing to speculators.
The Fed's announcement Tuesday of a coordinated plan with other central banks aimed at keeping prices of illiquid securities from plunging gave the dollar a lift Tuesday, and boosted the stock market as well.
The dollar also sank inversely to crude-oil futures, which hit a record high of $110.20 a barrel Wednesday. See Futures Movers.
Crude oil is traded in dollars. As the dollar declines in value, so does the price of oil in non-dollar terms, making it more appealing to speculators.
The Fed's announcement Tuesday of a coordinated plan with other central banks aimed at keeping prices of illiquid securities from plunging gave the dollar a lift Tuesday, and boosted the stock market as well.
This article is about how the dollar is dropping against the euro and the actions that the Fed is taking in order to help the problem. They devised a plan along with the central banks to keep illiquid security prices from falling in order to "give a boost" to the dollar and in return, the stock market benefitted as well. The influence on the stock market carried through Wednesday, however the dollar dropped again proving the plan insufficient.
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