Dollar Declines Against Yen, Euro

The dollar fell against the yen and the euro as stocks dropped before a report likely to show a gauge of manufacturing in New York slid to a record low.

The decline against the yen was the dollar's fifth in the past six days. The U.S. has entered a recession that will persist into next year, and economies around the world will follow suit, according to a survey by the National Association for Business Economics.

The dollar weakened to 96.52 yen as of 7:46 a.m. in New York, from 97.14 at the end of last week. It dropped to $1.2638 per euro, from $1.2605. The yen strengthened to 121.99 per euro, from 122.39.

The yen gained even after the Cabinet Office in Tokyo reported that gross domestic product fell at an annualized 0.4 percent pace in the three months ended Sept. 30, after sliding a revised 3.7 percent in the previous period. Economists predicted 0.1 percent growth, a Bloomberg survey showed.,
11/17/2008 5:18:19 AM