LONDON—The euro fell across the board after a report ignited speculation that German central-bank head Axel Weber won't succeed Jean-Claude Trichet as European Central Bank president.
The Reuters report said the Bundesbank will make a statement about the professional future of Weber later Wednesday. The Bundesbank subsequently denied planning to issue such a statement.
Mr. Weber, considered to be one of the most hawkish members of the ECB's governing council, has been seen as a frontrunner to succeed Mr. Trichet later this year, boding well for the single currency's rate expectation-driven rally.
The shared currency plunged to the day's low against the dollar in the wake of the news, dropping from $1.3652 to $1.3612—down from $1.3633 late Tuesday in New York—and also dropping against the Swiss franc and the Japanese yen.
The dollar, meanwhile, was higher against most rivals. The pound traded recently at $1.6050, down from $1.6073, while the Australian dollar was at $1.0107 from $1.0152. The greenback recently changed hands at 82.55 yen, from 82.35 yen.
