Euro falls amid concern over European grown

The euro weakened against the majority of its most-traded peers after a report showing European growth slowed more than economists forecast added to concern that nations will struggle to rein in budget deficits.

The dollar advanced versus the Swiss franc, yen and euro as Fitch Ratings affirmed the its top credit rating for the U.S. after saying on Aug. 2 the nation was under review.

“The fact that the euro-zone economy all but stagnated is troublesome, and I’m not sure what the policy makers can do,” said Marc Chandler, global head of currency strategy at Brown Brothers Harriman & Co. in New York.

The euro declined 0.4 percent to $1.4392 at 10 a.m. in New York, from $1.4445 yesterday, when it reached $1.4477, the highest level since July 27. The European currency fell 0.3 percent to 110.62 yen. The dollar was little changed at 76.88 yen, from 76.83 yen.

Gross domestic product in the euro area rose 0.2 percent from the first quarter, the least since 2009, when it increased 0.8 percent, the European Union’s statistics office in Luxembourg said today. Economists had forecast the economy to expand 0.3 percent, according to a Bloomberg survey.

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