Euro tumbles back towards US$1.05

London

THE euro tumbled back towards US$1.05 on Monday, hitting its weakest in four weeks as the US dollar's resurgence continued on bets the US Federal Reserve will raise interest rates from their historic lows in the coming months.

The biggest mover among major currencies was the Australian dollar, which shed around 1.7 per cent to head towards a six-year low after a shock contraction in Chinese exports stoked worries about sputtering growth in the world's second-largest economy.