Thursday, February 21, 2013 4:45 pm
Dollar holds on to gains after Fed report
The Associated Press
Some of the Fed's policymakers fear that the bank's open-ended bond purchases could cause inflation. If the Fed curtails the program, it could lead to higher U.S. interest rates and a stronger dollar.
The euro dropped to its weakest point in about six weeks, below $1.32, after a gauge of business activity in Europe by the financial information company Markit dropped in February.
In late trading in New York, the euro was worth $1.3172 compared with $1.3281 late Wednesday. The euro is used by 17 European countries, including Greece, Ireland and Portugal, which have been bailed out by their wealthier neighbors.
The British pound recovered from a 2 1/2-year low near $1.51, trading at $1.5242 compared with $1.5240. The dollar dropped to 93.12 Japanese yen from 93.81.
The dollar also rose versus the Canadian dollar, the Swiss franc and other major currencies.