Euro slides further on French no

The euro slid further against the dollar on Monday in Asia, following the rejection by French voters of the EU Constitution.

In a high turnout, 55% of French voters rejected a European Constitution that was meant to bring Europe closer to its citizens, largely owing to fears that had little relationship to the text itself.

From about USD 1.26 per euro late on Friday, the euro dipped to a low of 1.25 on Monday morning in Asia.

Bear Stearns investment bank said on Monday that the euro could fall to USD 1.20, compared with more than 1.30 at the beginning of March.

However, a weaker euro would be a boost to exporters, who have been struggling with the combination of weak demand in Europe and a strong euro abroad.