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Friday, October 5, 2007

The Dropping Dollar. Worry for European Exporters ?




The dollar touched new lows against the euro, as more evidence emerged of weakness in the American economy. The number of signed contracts to buy existing homes fell again in August and a monthly survey by the Institute of Supply Management indicated softness in the services sector. European politicians meanwhile expressed concern about the impact of the euro's rise on exports. Inflation in the currency zone rose to 2.1% in September, despite the euro's strength.

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