The dollar fell against the euro and other major currencies on Tuesday as housing troubles continued to raise investors' concern about the state of the U.S. economy.
Speculation that the Countrywide financial could file for bankruptcy hammered the stock of the largest U.S. mortgage lender, sending it down more than 12 percent in afternoon trading in New York. Countrywide denied the rumors in a statement.
Meanwhile Federal Reserve Bank of Boston President Eric Rosengren said in a speech Tuesday that a decline in residential housing investment had raised the risk of a more significant downturn in the overall economy. He added that a recent increase in the unemployment rate also suggests less welcome developments.
In New York, the euro was at $1.4715 from $1.4697 late Monday. The dollar was at 109.43 yen from 109.06 yen. The euro was at 161.01 yen from 160.27 yen. The U.K. pound was at $1.9738 from $1.9701, and the dollar was at 1.1144 from $1.1162 Swiss francs.