Euro falls to 3-month low vs dollar on Cyprus plan

Euro falls to 3-month low against dollar on Cyprus plan to seize bank savings

Associated Press

NEW YORK (AP) -- Fears that a proposed bank bailout for Cyprus could reignite Europe's debt crisis pushed the euro lower against the dollar.

The euro was worth $1.2948 late Monday, after falling to a three-month low of $1.288 earlier in the day. The euro was worth $1.3054 late Friday.

As part of a national bailout, Cyprus agreed to demands from its European partners that up to 10 percent of people's savings be seized from banks in the small Mediterranean island nation.

Investors are worried that savers will start taking their money out of banks across Europe, just like Cyprus residents did over the weekend.

In other trading, the British pound rose to $1.5099 from $1.5078.

The dollar slipped to 95.42 Japanese yen from 95.50 Japanese yen.

The dollar rose to 0.9456 Swiss franc from 0.9405 Swiss franc and to 1.0217 Canadian cents from 1.0195 Canadian cents.

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