Reply #33: dollar watch

[UpInArms]

Last trade 84.243 Change -0.149 (-0.19%)

DDollar Falls Victim to Scramble for Safety, Boosting the Yen

http://online.wsj.com/article/SB123194092353680957.html?mod=googlenews_wsj

NEW YORK -- The dollar declined to nearly a four-week low against the yen Wednesday as disappointing U.S. retail sales data and continued worries about the financial system sent investors grasping for safety.

The yen is considered a safe-haven currency, and the dollar fell as low as 88.60 intraday. But the greenback gained against the euro after Standard & Poor's downgraded Greece's sovereign rating to single-A-minus from single-A, with a stable outlook.

The "ongoing global financial and economic crisis has, in our opinion, exacerbated an underlying loss of competitiveness in the Greek economy," S&P credit analyst Marko Mrsnik said.

The common currency fell to fresh five-week lows of $1.3093 and 116.57 yen, respectively.

S&P also put Ireland, Portugal and Spain on CreditWatch for possible downgrades recently, and its quick move on Greece raises concerns for faster-than-anticipated action on other euro-zone nations.

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