Euro rises slightly vs dollar after Italy election

AP News
Posted: Feb 27, 2013 5:12 PM

NEW YORK (AP) — The euro rose slightly against the dollar as investors wait to see if a new Italian government can be formed after a general election found no clear winner.

The euro rose to $1.3129 in late trading Wednesday from $1.3055 late Tuesday.

The inconclusive election in Italy is raising the possibility that the country will need to vote again. That could derail efforts to resolve Italy's fiscal problems and possibly reignite Europe's debt crisis.

On Wednesday, Italy successfully sold $5.2 billion of 10-year bonds, but at much higher interest rates than last month. That's a sign that investors are concerned about the country's finances.

The British pound rose to $1.5153 from $1.5129 late Tuesday.

The dollar fell to 0.9310 Swiss franc from 0.9321 Swiss franc and to 1.0233 Canadian dollar from 1.0263 Canadian dollar.

The dollar rose to 92.28 Japanese yen from 91.96 Japanese yen.