Euro Weakens and Aussie Declines

The euro fell for the first time in six days against the dollar as European Union leaders met in Brussels amid concern Greek bailout negotiations will hinder efforts to resolve the financial crisis.

The 17-nation currency slid for a third day versus the yen as Italy raised less than its maximum target at a bond sale after Fitch Ratings downgraded the nation last week. The Swiss franc strengthened to the highest level against the euro since September. South Africa’s rand and Australia’s dollar slid as stocks fell, damping demand for higher-yielding assets.

“The summit is happening today but we’re not seeing any progress on the private-sector involvement in Greece or improvement on a fiscal compact,” said Brian Kim, a currency strategist in Stamford, Connecticut, at Royal Bank of Scotland Group Plc. “There was some hope last week and it’s gotten pulled back, and that’s affecting broader risk sentiment.”

The euro fell 1 percent to $1.3085 at 9:06 a.m. in New York, after rising 2.2 percent last week. The common currency dropped 1.2 percent to 100.19 yen. The euro declined 0.1 percent to 1.20535 Swiss francs after sliding to 1.2043, the weakest since Sept. 19. The dollar was little changed at 76.68 yen.

The Swiss National Bank in September capped the franc’s strength at 1.20 per euro. The president of the central bank at the time, Phillip Hildebrand, resigned earlier this month.