The euro fell against most of its major counterparts after Spanish bond yields surged and Fitch Ratings said the nation won’t meet budget-deficit goals, adding to concern Europe’s debt crisis is worsening.
Canada’s dollar dropped against its U.S. counterpart by the most in six months as a drop in retail sales and a third tightening of mortgage terms increased bets the Bank of Canada may delay further rate increases.
The dollar dropped against the majority of its most-traded counterparts as U.S. economic data showed a quickening recovery and European funding stress eased, damping demand for the safety of the U.S. currency.
The euro strengthened to a two-week high against the dollar and the yen as Spain raised more than its maximum target at a debt sale, boosting optimism the region’s sovereign-debt crisis is being contained.
The dollar advanced against all of its most-traded counterparts as stocks and longer-term Treasuries fell on speculation the Federal Reserve will buy less debt than some traders estimated under quantitative easing.
The euro fell to a four-month low against the dollar after the European Central Bank said it will temporarily stop lending to some Greek banks and as the nation’s leaders prepare for a second election.