Euro loses ground against dollar

The 15-nation euro bought $1.3606, down from the $1.3863 it bought in late New York trading Friday. It was last that low in early September 2007.

On Saturday, Europe's four major economic powers--Germany, France, Britain and Italy--called for tighter regulation but shied away from advocating a massive bailout like the $700 billion plan passed Friday in the United States.

But Germany became the latest country to move to allay fears about the financial meltdown by enhancing a rescue plan for Hypo Real Estate AG, Germany's second-biggest commercial property lender, and guaranteeing private bank accounts as European governments scrambled on their own to save failing banks.

German Chancellor Angela Merkel also said Sunday that no citizen should fear for the safety of their investments. Hours later, her government announced a new bailout package totaling euro50 billion ($69 billion) for Hypo Real Estate.

Hypo said an original euro35 billion ($48 billion) rescue plan fell apart after private lenders withdrew support, a key element to the proposal that had already been approved by the EU.

In other currencies, the British pound bought $1.7601 Monday compared with $1.7680, while the dollar bought 103.28 Japanese yen from 105.16 yen Friday in New York.