Dollar lower as data confirm the low us growth

NEW YORK - the dollar fell Thursday against the other currencies after a new report has confirmed the sluggish U.S. economic growth in the first three months of the year as the high gasoline prices hurt consumer spending.

The euro has increased to $1.4140 in late trading in New York, up from $1.4079 late Wednesday. The euro rose as high as $1.4206 earlier in the day.

Investors had thought that the risk of a default value of debt in Greece was at least a year away, but recent comments by European leaders have led some traders to suspect that there could be a default value as soon as possible as mid-JulyBrian Kim UBS currency analyst, said.

Traders "are quite uncertain enough fear on what could happen" in Greece, Kim said. "We do not know what really believe officials."

At a Conference in Luxembourg, Jean-Claude Juncker, Chairman of the Group of 17 Ministers of finance to countries that use the euro, warned that International Monetary Fund may not send the 12 billion euros ($17 billion) he expected in June of its bailout approved last year the Economist David Mackie GrèceJPMorgansaid in a research note.

IMF aid the Greece clings to its economic reforms, but Greece politicians are fighting the wire further reductions in government spending, as evidenced by thousands of citizens against austerity measures.

Finance Minister George Papaconstantinou has warned that a halt in foreign cash flow would force default Greece.

In addition, the dollar is still lower on concerns about a weakening recovery to the United States. The Department of Commerce, says that the economy grew at a rate of 1.8% from January to March, unchanged from its previous estimate.

Gas, a troubled housing market and high unemployment make buyers cautious spending.

The Ministry of labour said more people unemployed assistance last week, a sign that the labor market is still low asked. The number of people seeking benefits increased by 10 000 a 424,000 seasonally adjusted. 375 000 Claims below is compatible with the growth of stable employment.

The British Pound rose to $1.6389 of $1.6279, while the dollar slipped to 81.30 Japanese yen of yen 81.97.