US focus: Dollar declined amid rise in US stock exchanges

The euro gained against the US dollar as investors bet the Federal Open Market Committee will repeat its pledge to maintain stimulus measures to revive confidence in the U.S. economy. Another catalyst to rise was the fact that the European Central Bank today purchased Italian and Spanish debt in an attempt to curb the nation’s surging borrowing costs and prevent the crisis spreading further.
The pound slumped versus the greenback amid the worst civil unrest in 30 years spread in the country and weaken-than-expected U.K. manufacturing unexpectedly. According the UK National Statistics, the UK industrial production didn't advanced in June, while analysts forecasted gaining by 0.4% after its previous rise by 0.9%.
The Swiss franc appreciated to fresh historical high against the dollar as investors favored the safest assets amid concern global growth is faltering. Earlier the franc slightly dropped amid weaken-than-expected July consumer confidence.
The yen also gained versus the dollar as “save haven” currency. The Japanese currency has almost erased its decline since the nation’s unilateral intervention on The Bank of Japan added 10 trillion yen ($129 billion) of monetary stimulus on Aug. 4.
The Canadian dollar rose for the first time in eight days against its US rival as an advance in North American stocks reduced demand for a refuge in the greenback. Rising oil prices also supported the loonie.