Bush Eyes Mexico Drug Fight Funds

President Bush has asked the Congress for $500 m to help Mexico fight against illegal drugs. A White House spokeswoman said the US would do all it could to support Mexico's efforts to break the power and impunity of drug organizations there. The request, the first part of a $1.4 billion initiative, is due to be discussed by Congress in Washington on Thursday. Analysts have compared the package to the controversial and much larger, aid the US gives Columbia to fight drugs.

US Dollar Touches a New Euro Low

The US dollar tumbled to a new euro low in Asian trade as concerns over the state of the US economy deepened. The euro traded as high as $1.4348, breaking its last record set on Friday when one euro brought $1.4319. The sell-off triggered on Friday by a profit warning from building equipment giant, Caterpillar, prompting concerns over the slowing US economy. But the dollar bounced back to trade at $1.4146 against the euro bloc's currency in the afternoon trade in London.The greenback also slipped to a six-week low against the Japanese yen on Monday, touching 113.25 yen at one point, but gained against the British pound to trade at $2,0315 after initial falls.