They say traders were betting on further interest rate cuts by the US Feds to try to hold the fallout from the US housing slump and credit crunch which is likely to keep the greenback under pressure.

The ill dollar slumped further more against the euro today amid fears the US economy may already be in a recession. The euro continues to rally against the US dollar pushing the pair to the upside to record a high of 1.5237 and a low of 1.5186.

Meanwhile, the pound has range traded between 1.9600 and 1.9970 levels last week, struggling to reflect the sharp weakness of the US dollar and failing to break the psychological level of 2.00 again. Economic data in the UK revealed that the house price growth is continuing to slowdown which is also putting the royal pound under pressure. As for now, the pair is trading within thin ranges recording at this hour a high of 1.9868 and a low of 1.9820.

The yen is supported by growing risk aversion, keeping speculators from borrowing the Japanese currency to buy higher yielding securities overseas. These transactions know as the carry trades weaken the yen. As for this hour, the pair is fluctuating within narrow ranges to record a high of 103.31 and a low of 102.62