CURRENCIES

CURRENCIES Since its launch last year, the euro has steadily weakened against the dollar, largely, it seems, because investors do not believe that the euro-area economies can match the stunning performance of the United States. The euro's summertime rally against the greenback has now gone into reverse: on September 6th, it touched a new low of 86.8 cents. The Swiss franc has suffered along with the euro, reaching its weakest level since 1989, SFr1.77 to the dollar, on the same day. For several years, sterling had moved in a fairly narrow range against the dollar. In recent weeks, though, it has hit a seven-year low against the dollar and has begun to track the euro more closely. Not all currencies have crumbled before the mighty greenback, however: the Canadian dollar and the yen have more than held their own.