NEW YORK (AP) -- The dollar hit a new low against the euro in thin trading Friday as speculation continued that the American credit crisis will lead to another cut in interest rates in the U.S.

The 13-nation European currency spiked early to hit $1.4966, breaking the previous record of $1.4873, set the day before.

"Once again the message ... coming through is that with further rate cuts expected from the Fed, the dollar is struggling to find any serious supporters," said James Hughes, an analyst at CMC Markets.

In late afternoon trading, the euro had retreated to $1.4838, up from the $1.4833 it bought late in Europe the day before, but down from the $1.4848 it bought in New York late Wednesday.

The dollar fell to purchase as little as 107.56 Japanese yen, dropping below the 108-yen level for the first time since 2005. It recovered slightly to purchase 108.18 yen, down from 108.62 yen late in Europe on Thursday and 108.68 yen in American trading Wednesday.

The British pound, meanwhile, fell to $2.0612 from $2.0634 the day before in Europe and $2.0644 in New

NEW YORK (AP) -- Shares of most railroad operators traded higher Friday, as the broader market climbed and a Bear Stearns analyst said carload volumes improved for the second week in a row last week following 34 weeks of declines.

Analyst Edward Wolfe said total volumes improve 0.6 percent last week, compared with a 2.2 percent gain the previous week.

While demand remains relatively weak, Wolfe expects volumes to continue to improve over the next several weeks, most significantly in intermodal carloads. Volumes for intermodal -- which involves moving freight from one method of transportation to another -- have been negative, but improving, in recent weeks.

Grain volumes are also boosting agricultural carloads, the analyst said, as strong demand for wheat exports continues. Additionally, metallurgical coal volumes, although not a significant portion of railroad hauls, are improving on international demand and a weak U.S. dollar. Metallurgical, or so-called met coal, is used to make steel.

However, while volumes and pricing show signs of improvement, Wolfe said that fuel prices should weigh

AP
China Sees 2007 Inflation at 4.5 Percent
Friday November 23, 8:23 am ET
Report: Chinese Statistics Official Says 2007 Inflation Projected at 4.5 to 4.6 Pct


BEIJING (AP) -- China's consumer inflation rate for 2007 should be about 4.5 to 4.6 percent, the country's chief statistics official said, according to a government news agency report Friday.

Xie Fuzhan, director of the National Bureau of Statistics, made the comment in an appearance Thursday at Beijing's Tsinghua University, the Xinhua News Agency said. The forecast was in line with those of other officials and private economists.

Last year, China's consumer inflation rate was 2 percent.

Inflation spiked to a monthly rate of 6.5 percent in October, blamed mostly on a rise in food prices due to shortages of some items. But those shortages are expected to end soon as a new crop is harvested, and price rises for other items such as fuel have stayed low.

NEW YORK (AP) -- Oil futures resumed their march toward $100 a barrel Friday, rising to a new record close in light holiday trading on concerns about tight heating oil supplies while also drawing support from a buoyant stock market.

At the pump, meanwhile, gas prices retreated further from their most recent peak, falling 0.1 cent overnight to a national average of $3.086 a gallon, according to AAA and the Oil Price Information Service. Prices rose sharply from mid-October until last week, but have fallen 2.6 cents since, countering predictions that gas prices were destined to add another 10 to 15 cents a gallon to catch up with skyrocketing crude prices.

Analysts now say gas prices are likely to hold steady or even slide a little unless oil rises beyond $100 a barrel.

Oil prices drew support Friday from heating oil futures, which set new records on concerns about tight supplies heading into the winter heating season. Inventories of distillates, which include heating oil, fell sharply last week, the Energy Department reported on Wednesday.

Light, sweet crude for January delivery rose 89 cents to settle at $98.18 a barrel on the New York Mercantile Exchange, besting the previous settlement record by 15 cents, while December heating oil