Dollar falls on hope of economic stimulus package

Special Report:Global Financial Crisis

NEW YORK, Feb. 9 (Chinese media) -- The dollar fell against major currencies on Monday as a major economic stimulus package of the U.S. government was likely to be approved by the Senate.

The plan was expected to pass the Senate on Tuesday, set the stage for negotiations with the House on a final compromise on economic stimulus legislation. Hopes for the package boosted risk appetite of investors who wish the plan would help U.S. economy to get out of recession.

On Tuesday, Treasury Secretary Timothy Geithner also is expected to unveil a revamping of the remainder of the Troubled Asset Relief Program (TARP) to support the banking system. It was reported that the financial rescue plan includes a combination of additional capital infusions, directed mortgage relief for as many as 2.5 million households.

The euro bought 1.3024 dollars in late New York trading compared with 1.2946 dollars it bought late Friday. The pound rose to 1.4916 dollars from 1.4800 dollars.

The dollar fell to 1.2188 Canadian dollars from 1.2253 Canadian dollars, and fell to 1.1617 Swiss francs from 1.1625 Swiss francs. It fell to 91.43 Japanese yen from 92.09 Japanese yen.