Euro Rallies as U.S. Budget Spurs Shutdown Concern

Bloomberg (25/9) -- The euro advanced versus the dollar on signs of economic strength in the 17-nation region and concern Washington budget talks may lead to a federal shutdown. The shared currency gained versus most of its major peers as consumer confidence in Germany, Europe’s biggest economy, increased more than estimated. The yen gained against a majority of its most-traded counterparts amid reduced risk demand. New Zealand’s dollar fell after the nation’s trade deficit unexpectedly widened. The Swedish krona dropped for a fourth day against the dollar as consumer confidence worsened in September. The euro appreciated 0.4 percent to $1.3521 per dollar at 2:06 p.m. New York time. The common currency rose 0.2 percent to 133.28 per yen. The dollar fell 0.2 percent to 98.57 yen. The quarter, New Zealand’s dollar has led all major gainers with a 6.7 percent increase, while the worst-performing South African rand has slipped 0.8 percent. Denmark’s krone is the best-performing currency in 2013 and the rand has plunged 14.9 percent.