Dollar Rises Ahead Of Central Bank Announcements

TALI ARBEL

NEW YORK (AP) — The dollar mostly rose Tuesday as major bank restructurings in Europe and worries over slow growth made the currency more attractive to investors seeking safety amid central bank meetings in the U.S. and Europe this week.

Signs of economic trouble burnish the allure of the dollar and the safe-haven U.S. Treasuries it can buy.

In morning trading in New York Tuesday, the 16-nation euro fell to $1.4657 from $1.4753 late Monday. Meanwhile, the British pound dropped to $1.6378 from $1.6383. The dollar dipped to 90.24 Japanese yen from 90.35 yen.

On Tuesday, two British banks announced huge capital raises, and their stocks dropped. Lloyd Banking Group PLC will try to raise at least 21 billion pounds ($34.1 billion) with a record-high share issuance and a debt swap. Royal Bank of Scotland Group PLC will get another 25.5 billion pounds from the government, whose stake in the company will rise to 84 percent from 70 percent.

In the U.S., stocks fell. The Dow Jones industrials and the broader Standard & Poor's 500 both fell 0.3 percent.