The greenback fell across the board on Friday after the release of much weaker-than-expected U.S. new home sales data which fell by 9% to an annual rate of 647,000 in November, the lowest in 12-year, heightening concern about the economy.

The single currency rallied from 1.4592 to 1.4728 versus the dollar whilst U.S. currency tumbled from 1.1416 to 1.1257 on active cross buying in chf. The greenback continued to weaken against the Japanese yen on active cross selling in jpy and depreciated from 114.02 to 112.27 on Friday. Euro, aussie and sterling retreated versus the Japanese yen from 166.48 to 165.01, from 99.97 to 98.30 and from 227.70 to 224.10.

Sterling fell to a record low of 73.89 pence per euro after the release of Nationwide house prices which showed U.K. house prices fell more than expected, adding speculation that the Bank of England will cut interest rates from 5.5% in next policy meeting. The British pound rose briefly to 2.0023 due to dollar’s broad-based weakness and then retreated to 1.9903 on active cross selling in sterling.

Interest-rate futures on Friday showed a 90% chance that the Fed will reduce its benchmark interest rate a quarter-percentage point at its Jan. 30 meeting, compared with a 76% chance yesterday.

Next week will see the release of U.S. existing homes sales data on Monday; German, eurozone and U.K. PMI manufacturing, U.S. ISM manufacturing, construction spending and the Fed minutes on Wednesday; German unemployment rate, U.S. ADP employment, jobless claims, factory orders and revised durable goods data on Thursday; German, eurozone and U.K. service PMI, closely watched U.S. non-farm payrolls data and ISM non-manufacturing on Friday. Japanese financial markets will be closed from Monday to Thursday next week. All financial markets will be closed on Tuesday for New Year holiday.