NEW YORK (AP) -- Currency traders aren't convinced that a bailout for Cyprus will fix its financial problems or Europe's debt crisis, pushing the euro to a four-month low against the dollar Monday.
The euro fell to $1.2851 in late trading from $1.2983 late Friday. Earlier the euro fell to $1.2828, its lowest point against the dollar since Nov. 21.
On Sunday The European Commission, the European Central Bank and the International Monetary Fund approved a $13 billion bailout for Cyprus. As part of the deal, Cyprus will take money from its wealthiest depositors and restructure its banking sector.
Investors will be watching to see if Cypriots start withdrawing their money Tuesday, when banks are expected to open for the first time in over a week. They were closed to avoid a run on banks, after a rejected bailout plan called for taking up to 10 percent of most savings deposits. The plan approved this weekend seizes funds only from depositors with over 100,000 euros in their accounts.
In other currency trading Monday, the British pound fell to $1.5175 from $1.5228.
The dollar rose to 0.9484 Swiss franc from 0.9411 Swiss franc.
The dollar fell to 94.16 Japanese yen from 94.45 Japanese yen and to 1.0211 Canadian dollar from 1.0227 Canadian dollar.
- Investment & Company Information
- International Monetary Fund
- The European Commission