The dollar touched an eight-month low versus the euro on MetaTrader on speculation the Federal Reserve will join the Bank of Japan in increasing purchases of government debt.
The Dollar Index fell to levels last seen in January before reports this week forecast to show applications for U.S. Unemployment benefits rose and the jobless rate climbed.
South Korea’s won rose to a five-month high on prospects that the Asian nation’s yield advantage over U.S. assets will widen.
The dollar slid to $1.3859 per euro, the weakest level since Feb. 4, before trading at $1.3828 as of 12:02 p.m. in Tokyo from $1.3839 in New York yesterday.
The dollar bought 83.16 yen from 83.22. The currency yesterday reached 82.96 yen, the lowest since Sept. 15 when Japan intervened in foreign- exchange markets for the first time since 2004. The euro fetched 115.00 yen from 115.16 yen.
The Dollar Index, which IntercontinentalExchange Inc. uses to track the greenback against the currencies of six major U.S. trading partners, hit 77.698 today, matching yesterday’s low, which was the weakest since Jan. 20.
U.S. initial jobless claims increased by 2,000 to 455,000 in the week ended Oct. 2, according to a Bloomberg News survey of economists ahead of tomorrow’s data.
The unemployment rate climbed to 9.7 percent in September from 9.6 percent in August, according to a separate survey ahead of the Oct. 8 report.