Euro turns higher against the dollar

AP News
Posted: Apr 16, 2012 3:58 PM
Euro turns higher against the dollar

The euro recovered against the dollar Monday after hitting a two-month low earlier in the day as Spain's borrowing costs rose.

The yield on Spain's benchmark 10-year government bond jumped above 6 percent Monday for the first time since November. Rising yields are a sign that investors are less confident in the country's finances. Greece, Ireland and Portugal had to seek bailouts after their borrowing costs rose above 7 percent.

Traders are becoming concerned that the country might need a bailout.

Those worries pushed the euro down to $1.2993 early Monday, its lowest point against the dollar since Feb. 16.

But the euro recovered in afternoon trading, rising to $1.3134 late Monday. It was worth $1.3080 late Friday.

In the U.S., the Commerce Department said that retail sales grew a stronger-than-expected 0.8 percent in March from the previous month.

In other trading, the British pound rose to $1.5905 from $1.5854. The dollar fell to 80.49 Japanese yen from 81.10 yen and to 0.9150 Swiss franc from 0.9197 Swiss franc.

The dollar rose to 99.96 Canadian cents from 99.83 Canadian cents.