Dollar rises to 3-week high against euro
- Associated Press
- April 5, 2012 - 10:45 AM
NEW YORK - Growing fears about Europe's debt crisis are driving the dollar to a three-week high against the euro.
The yield on Spain's benchmark 10-year bond jumped to 5.74 percent Thursday, its highest point since November. A month ago, the rate was below 4.9 percent. Rising yields are a sign that investors are less confident in the country's finances.
The higher a country's yield, the more expensive it is to borrow money. Greece, Portugal and Ireland needed a bailout after their borrowing rates rose above 7 percent.
Concerns about Spain's finances rose this week after weak demand at its bond auction Wednesday.
The euro is trading at $1.3060 in morning trading. The euro fell as low as $1.3034, its lowest point since March 15. It was worth $1.3139 late Wednesday.
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