The euro touched an 11-month low against the dollar ahead of data this week forecast to show regional economic confidence fell and German inflation stalled.
The euro held losses versus most of its 16 major counterparts after European Central Bank President Mario Draghi said last week inflation expectations have declined, increasing speculation policy makers will expand stimulus. The greenback rose to a six-month high against 10 leading global peers before a report today projected to show a pickup in U.S. durable goods orders. New Zealand’s dollar fell to the lowest in six months after the nation’s trade balance slipped into deficit.
“Draghi seems to take a bearish view of Europe, spurring euro selling,” said Kazuo Shirai, a trader at Union Bank NA in Los Angeles. “The trend for a strong dollar is going to continue.”