Dollar at new lows versus euro, Swiss franc

The US dollar weakened Thursday to new lows versus the euro and the Swiss franc and to near a two-and-a-half-year low versus the Japanese yen, while Federal Reserve chairman Ben Bernanke made more comments which have analysts expecting more interest rate cuts soon.

Meanwhile, in a press conference, US President George W. Bush insisted that while the US economy has slowed, it is not headed into a recession and that his administration does not support any further steps to stimulate the economy.

The dollar touched $1.5196 to the euro in morning trade, a new record low, before recovering slightly to $1.5182 to the shared currency and traded at $1.9884 to the pound while a dollar was worth ¥105.5600 and SFr1.0524, also a record low.

The South African rand was weaker versus the yen, the Swiss franc and other currencies as investors backed away from carry trades, eroding demand for high-yielding currencies such as the rand.

The yen traded at ¥13.971 to the rand and while a Swiss franc bought R7.1905 and the rand traded at R7.5605 to the dollar.

The Canadian dollar saw gains on the rising value of exported commodities as oil and gold prices hovered near record highs, with a loonie being worth $1.0291 just before noon in New York.