Dollar slips vs. euro on Greek aid plan

By Ben Rooney, staff reporter


NEW YORK (CNNMoney.com) -- The dollar fell versus the euro Monday after the European Union announced additional steps to aid Greece, but the decline was tempered ahead of corporate financial results.

What prices are doing: The dollar was down 0.7% versus the euro to $1.3592. The greenback edged up slightly against the U.K. pound to $1.5369 and against the Japanese yen to ¥93.25.

What's moving the market: The euro rallied after EU finance chiefs pledged Sunday to commit up to $40 billion in loans to Greece if it were to request a bailout.

The move eased some concerns that the fiscal crisis in Greece could spread and hurt economic activity across Europe, boosting demand for risky assets.

But the euro backed off earlier highs as stock markets in London, Paris and Frankfurt turned mixed.

Traders were also digested quarterly results from aluminum producer Alcoa (AA, Fortune 500), which reported a slim operating profit thanks to higher metal prices but missed on revenue. The Dow component was the first company to report first-quarter results after the bell Monday.

Overall, first-quarter earnings are expected to have risen nearly 37% over the year-earlier period, according to Thomson Reuters. Revenue is forecast to have risen 10%

What analysts are saying: "Near-term prospects look supportive for risky assets, hinting at losses for the safety-linked U.S. dollar and Japanese yen against their major counterparts," Ilya Spivak, currency strategist at DailyFx, wrote in a note to clients.

In addition to the updated Greek "bailout scheme," he said Alcoa's earnings "may also prove market-moving." To top of page

Frontline troops push for solar energy
The U.S. Marines are testing renewable energy technologies like solar to reduce costs and casualties associated with fossil fuels. Play
25 Best Places to find rich singles
Looking for Mr. or Ms. Moneybags? Hunt down the perfect mate in these wealthy cities, which are brimming with unattached professionals. More
Fun festivals: Twins to mustard to pirates!
You'll see double in Twinsburg, Ohio, and Ketchup lovers should beware in Middleton, WI. Here's some of the best and strangest town festivals. Play
Overnight Avg Rate Latest Change Last Week
30 yr fixed3.92%3.97%
15 yr fixed3.00%3.08%
5/1 ARM3.48%3.44%
30 yr refi3.99%4.02%
15 yr refi3.10%3.16%
Rate data provided
by Bankrate.com
View rates in your area
 
Find personalized rates:
Index Last Change % Change
Dow 18,132.70 -81.72 -0.45%
Nasdaq 4,963.53 -24.36 -0.49%
S&P 500 2,104.50 -6.24 -0.30%
Treasuries 2.00 -0.01 -0.69%
Data as of 11:50pm ET
Company Price Change % Change
Bank of America Corp... 15.81 -0.23 -1.43%
Apple Inc 128.46 -1.96 -1.50%
General Electric Co 25.99 0.10 0.39%
Microsoft Corp 43.85 -0.20 -0.47%
Chesapeake Energy Co... 16.68 -0.52 -3.02%
Data as of Feb 27

Sections

Berkshire Hathaway CEO Warren Buffett released his 50th annual letter to shareholders. The Oracle of Omaha thinks the next 50 years will be great and knows who will replace him. More

Potential presidential candidate says that improvement in unemployment rate is due to millions of jobless not being counted. More

With the death of Leonard Nimoy, the actor who played Star Trek's Spock, we remember his character's legacy: The technology we use every day. More

A social media frenzy about the color of a dress is bringing fame and fortune for one small British fashion company. More

The top 5 consumer complaints have to do with identity theft, debt collectors, imposters, telephone companies and banks. More