Dollar Drops Versus Euro on Speculation Fed Won’t Raise Rates

The dollar fell against the euro for the first week in almost a month as the Federal Reserve signaled its dissatisfaction with job growth, bolstering speculation it will be slow to increase interest rates.

The greenback dropped against most of its major peers as lower-than-forecast retail sales and a rise in jobless claims damped demand. The Swiss franc surged as investors sought safety amid Middle East turmoil, while the pound rose against the dollar and euro on speculation the Bank of England will raise interest rates. The U.S. economy grew faster in the last quarter of 2010 than first estimated, data next week may show.