FOREX-Dollar index hits 15-mth low, sterling falls on BoE

Wed Nov 11, 2009 11:28am GMT
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* Dollar index hits 15-mth low, stung by U.S. rate view

* Sterling slides after BoE comments on pound weakness

* Australian dollar hits 15-mth high vs U.S. dollar

(Releads, updates throughout)

By Naomi Tajitsu

LONDON, Nov 11 (Reuters) - The dollar hit a 15-month low against a currency basket on Wednesday after Federal Reserve officials said any recovery in the U.S. economy would be erratic, bolstering the view that interest rates would stay low.

Sterling fell broadly, stung after Bank of England Governor Mervyn King said weakness in the currency would help UK exporters, and aiding Britain's recovery from recession.

Despite its gains versus the pound, the dollar index hit 74.774, its lowest since August 2008, as the U.S. currency suffered against its higher-risk counterparts after strong Chinese economic data boosted shares and spurred risk appetite.  Continued...

 
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