The euro traded near a two-month low against the yen in Forex Managed Accountss on concern that Ireland’s banking crisis will spread to Portugal and Spain amid signs the region’s economic recovery is slowing.
The currency headed for its first monthly loss versus the dollar since August after Spanish 10-year bonds slid by the most since the euro’s debut and before data that may show Europe’s unemployment rate held at a 12-year high.
The dollar was close to a two-month high against the yen ahead of a report forecast to show U.S. consumer confidence rose a second month.
The Australian dollar rose for the first time in four days after the nation’s building approvals increased by the most since March.
The euro bought 110.56 yen as of 11:52 a.m. in Tokyo from 110.60 yen in New York yesterday, when it touched 110.26, the lowest since Sept. 15. It was at $1.3137 from $1.3125. The dollar fetched 84.14 yen from 84.26 yen yesterday when it appreciated to 84.41 yen, the strongest level since Sept. 27.
The 16-nation euro area’s jobless rate remained unchanged from the previous month at 10.1 percent in October, according to a Bloomberg News Survey of economists before today’s report. That’s would be the highest reading since 1998.
Gross domestic product in the 16-nation euro region may grow at a 1.5 percent rate in 2011 from 1.7 percent this year, the Brussels-based European Commission said in a report published yesterday.