Value of the euro strengthened against the dollar because it is supported by increased consumer confidence in the U.S.. This continued even though the ministers of the G20 summit stressed the importance of a strong dollar for the world economy.

“A strong dollar is very important for the United States,” said U.S. Treasury Secretary Timothy Geithner at a meeting with Japanese Finance Minister Hirohisa Fujii on the sidelines of the G20 meeting in Pittsburgh.

The yen also rose against the dollar and the European single currency after Japan’s new finance minister said on the sidelines of the Summit, Tokyo does not intend to intervene to weaken the Japanese currency.

Fujii, who served last week after the center-left party won the election, said that in principle he could not support market intervention to achieve the weaker yen, which is good for exporters but makes imports more expensive.

The pound also slumped to its lowest level against the euro since April after the Governor of Bank of England (BoE) Mervyn King said on Thursday that the weaker pound was “very helpful” for the UK economy.

Howard Archer, of economic research consultancy IHS Global Insight, said the fall was due to “significant speculation that the Bank of England is happy to see the currency weaker.” Moneycorp says pounds “proportionally weaker across the board.”

Euro changed hands for 1.4692 dollars in London on Friday night compared with 1.4654 dollars in New York late Thursday. Against the Japanese currency, the euro fell to 132.17 yen compared with 133.75 yen earlier.

Dollar also fell to 89.95 yen 91.26 yen against the previous. The pound fell to 1.0847 euros and 1.5918 dollars.

Euro likely to benefit from the perception that economic stability is greater because it was seen by traders as currency risk and have higher yields. While the dollar is considered a safe asset in difficult economic conditions.

Therefore, the European currency benefited from rising U.S. consumer confidence index compiled by the University of Michigan which increased more than expected in September to 73.5 points – its highest level since January 2008.