Dollar slumps in early trade

The dollar was near a 17-month trough against the euro and hit a record low against the Swiss franc on Tuesday as expectations US interest rates would stay low indefinitely dulled demand for the greenback. Among major currencies, only sterling was down sharply against the dollar, falling after weak factory data cast doubt on when the Bank of England would lift interest rates.
The European Central Bank raised rates last month for the first time since 2008 and is expected to do so again this year, though traders expect it to stand pat when it meets this week. The euro was up 0.4 percent at $1.4874, more than a cent above its session low and near Monday's 17-month high above $1.49. It rose 1.1 percent to 89.94 pence. The dollar hit a record low of 0.8595 Swiss francs and shed 0.3 percent to trade at 80.98 yen. The Swiss and Japanese currencies often rise when risk appetite fades.