The dollar fell away undermined by the price of crude oil which jumped to a new record high of $147.27 a barrel. Market experts put the increase down to concerns over Iran's military intentions and also supply side problems.

Sterling (GBP)

The sterling gained versus a broadly weaker dollar as jitters about the health of the US financial sector overshadowed poor sentiment on Britain's economy. The Bank of England kept rates steady, as it struggles to balance an unhealthy mix of rising inflation and slowing growth. The pound looks vulnerable to any bad news, and a soft PPI number could well see investors pull out of sterling investments.

US Dollar (USD)

The US dollar came under heavy selling pressure as the price of crude oil hit another all time high and concern mounted over the state of key mortgage lenders Fannie Mae and Freddie Mac. The fact that these two institutions are under pressure has served to add to the view that the world's largest economy is in dire straits, and put the greenback under renewed selling pressure.

Euro (EUR)

The euro reached a two-and-the-half month high against the US dollar as investors fretted about the price of crude oil and the persistent problems in the US housing market. The 15-nation economy is buckling as record oil prices, a stronger Euro and a global slowdown take their toll on growth.

Japanese Yen (JPY)

The yen ended slightly up against the US dollar, although many traders believe that this is more of a temporary blip rather than the beginning of a new trend. The focus of trading this week will be firmly on the Bank of Japan, which began a two-day policy meeting. Most analysts believe that the Bank.