LONDON, Jan 8 (Reuters) - The euro extended losses on Thursday to hit a 9-year low against the dollar, as investors ramped up bets the European Central Bank was getting closer to adopting a large scale quantitative easing programme to ward off deflation.
A slump in German industrial orders in November reinforced bearish views of the single currency.
The euro fell past reported option barriers at $1.18 to hit a low of $1.17915 on trading platform EBS. It was the single currency's lowest level since late December 2005.
Data on Wednesday showed consumer prices in the euro zone fell in December from a year earlier, marking the first annual decline since 2009. That cemented expectations the ECB will probably announce a bond buying programme at its policy meeting on Jan. 22 (Reporting by Anirban Nag; Editing by Emelia Sithole-Matarise)