Euro rallies on hopes of German defence deal; dollar slips again
Flavius Niculescu
The euro scaled a new four-month peak against the dollar on Tuesday on hopes a German defence spending deal could be struck by the end of the week, while the dollar index slipped to its lowest since October due to U.S. recession fears. Germany's Greens Party co-leader Franziska Brantner said in an interview with Bloomberg News that her party was ready to negotiate to reach a deal for increased state borrowing to boost defence spending and revive growth. That helped lift the euro to $1.09205,
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