NEW YORK, Dec. 14 (Xinhua) -- The dollar fell slightly against major currencies on Monday as a 10-billion-dollar bailout from Abu Dhabi eased worries over Dubai's debt problems.

    The Abu Dhabi government has agreed to fund 10 billion U.S. dollars to Dubai to meet upcoming obligations on the state-owned conglomerate Dubai World.

    As a first action for the new fund, the government of Dubai has authorized 4.1 billion dollars to be used to pay the Sukuk (Islamic bond) obligations that are due on Monday.

    The remaining funds would also provide for interest expenses and company working capital through April 30, 2010, Sheikh Ahmad bin Saeed Al Maktoum, chairman of the Dubai Supreme Fiscal Committee, was quoted as saying in media reports.

    The government of Dubai, a member of the oil-rich federation UAE, announced on Nov. 25 that it would ask Dubai World's creditors to agree to a debt moratorium of at least six months as a first step toward restructuring.

    Global stocks and high-yielding currencies edged higher as the bailout boosted risk appetite in financial markets.

    There were no important U.S. economic data released on Monday. Investors are waiting for the Federal Reserve's monetary policy meeting which will be held from Tuesday to Wednesday.

    The euro bought 1.4647 dollars in late New York trading compared with 1.4617 dollars it bought late Friday. The pound rose to 1.6304 dollars from 1.6241 dollars.

    The dollar fell to 1.0595 Canadian dollars from 1.0606 Canadian dollars, and fell to 1.0322 Swiss francs from 1.0341 Swiss francs. It fell to 88.63 Japanese yen from 89.18 Japanese yen.

Special Report:  Global Financial Crisis