The euro hit fresh four-year highs on the dollar and yen today as investors kept up their rush for attractive euro zone yields and ignored the previous session's optimistic US consumer confidence data.
By 8.53 a.m., the euro had gained to a high of $1.1138. It also hit 133.23 yen - its highest in four years and above 133.15 level at which the single currency was launched at in 1999.
European Central bank leaders dampened prospects for rate cuts and saying growth should recover later this year, with inflationary pressures moderating.
"It seems that the dollar could come under further downward pressure. The market now tends to react more sensitively to dollar-selling factors," a Tokyo-based currency dealer said.