USD falls to record low verse the Euro, Swiss Franc.

November 20, 2007 - Forex Economic News

U.S. dollar falls to record low today verse the euro and the franc touching 1.4800 and 1.1070, respectively. Despite a boost in construction of new homes and apartments in new housing data coming out of the U.S., the dollar hit all time lows as more mortgage losses mounted continuing to spur credit fears. Rumors surfaced that the U.S. Fed would call an emergency meeting to cut interest rates but the rate cut did not materialize. The Fed has not changed rates in an emergency session since 2001.

Highlights of more fallout from the mortgage crisis.

Freddie Mac posted a $2 billion dollar loss for the 3rd quarter.

UBS AG, Europe's biggest bank by assets, may write-down up to $9 billion.

Insurer Swiss Re, announced a $1 billion write-down.

Goldman Sachs said to expect $15 billion or more of write-offs from Citigroup.

British mortgage lender Northern Rock shares dropped more than 35% today.

Housing data reported for October.

Construction on new homes and apartments unexpectedly rose 3% in October after three straight months of decline.

Construction of single-family homes declined by 7.3% in October, falling for a seventh straight month.

Applications for building permits, a barometer of future construction, dropped by 6.6% and fell for the fifth straight month in October.

Tags: Citigroup, Euro, franc, Freddie Mac, Goldman Sachs, mortgage crisis, Northern Rock, Swiss Re, UBS AG, USD------------------------- - - - -Blog index