€,$,¥ & Pound

You would think a U.S. dollar rally would be a good sign. But this is all relative: Strategists say the euro, the pound and other dollar rivals are flailing due to the weakness of their domestic economies, rather than a strong U.S. outlook.
The euro recently sank as far as $1.5009, pressured by various indicators that things are getting gloomy in the euro zone – from a surprise contraction in Italian second-quarter GDP to comments made Thursday by ECB President Jean Claude Trichet, who admitted the central bank is watching downside risks to growth. He held rates Thursday at 4.25%, but that could mean a cut in is the works soon, further pressuring the single currency against the dollar. Just a few weeks ago, on July 15, the euro had reached a new high above the $1.60 mark.