The U.S. dollar edged higher versus major rivals Tuesday, gaining ground versus the euro after a weaker-than-expected reading from a closely-followed gauge of German business confidence and hints by a European Central Bank official that negative interest rates would be an effective way to bring down an expensive shared currency.The euro traded at $1.3788, down from $1.3838 in North American trade late Monday. The Munich-based Ifo Institute said its German business-climate index fell to 110.7 points in March from 111.3 in February, breaking a four-month rise.
The institute said confidence was bruised by tensions in the Crimea region of Ukraine and weakness in emerging-market economies. The slip was largely in line with expectations, however, and isn’t expected to hold lasting sway over currencies, analysts said. The euro remains on track for a 0.5% quarterly rise versus the dollar
The institute said confidence was bruised by tensions in the Crimea region of Ukraine and weakness in emerging-market economies. The slip was largely in line with expectations, however, and isn’t expected to hold lasting sway over currencies, analysts said. The euro remains on track for a 0.5% quarterly rise versus the dollar