Expectations of more US interest rate cuts sent the dollar to a lifetime low against the euro yesterday, which in turn boosted oil and gold prices to new highs, as Ben Bernanke, Federal Reserve chairman, reiterated concerns about economic growth.

In his semi-annual testimony to the House financial services committee in Washington, Mr Bernanke stressed that both the housing and labour markets posed downside risks to the economy, and highlighted how high energy prices were acting as a tax on the consumer "and that credit conditions may tighten substantially further".