The euro held near a four-month high against the US dollar on Thursday, buoyed by optimism over Germany's proposed infrastructure fund and debt overhaul ahead of the European Central Bank's (ECB) policy announcement. The currency hit $1.0822, its strongest since November 7, and has gained 4.1 per cent this week, marking its biggest weekly rise since March 2009. Markets widely expect a quarter-point ECB rate cut, but attention will focus on President Christine Lagarde's remarks on eurozone fragmentation risks and rising government bond yields. Meanwhile, the dollar index weakened to a four-month low after the US extended auto tariff exemptions for Canada and Mexico. The greenback fell 0.7 per cent to 147.86 yen, while the Swedish crown surged after stronger-than-expected inflation data signalled an end to near-term rate cuts. Attribution: Amwal Al Ghad English Subediting: M. S. Salama
