The dollar swooned amid speculation that China will seek to diversify some of its foreign currency stockpiles beyond the greenback.
The 13-nation euro hit a fresh record against the dollar -- rising to $1.4729 -- before falling back [to $1.4554]. The dollar lost ground following word that a senior Chinese political figure said China should spread its $1.43 trillion foreign exchange reserves beyond the dollar into the euro and other strong currencies.
Sources:
Associated Press, Stocks Plunge With Dollar; Dow Down 360, Tim Paradis, November 7, 2007.
