Dollar Strength Testing Limits Even as Euro Drops on Greek Woes

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A gauge of the dollar headed for its biggest weekly decline in almost two months amid concern the currency’s strength will persuade the Federal Reserve to push back its first interest-rate increase since 2006.

The greenback weakened against all but two of 16 major peers this week after being unable to sustain a rally Thursday even as a report showed U.S. retail sales increased in May. The euro fell for a second day after Bild reported that Germany’s government is preparingBloomberg Terminal for a Greek default, citing people familiar with the plans.