Dollar rises to nearly 3-week high against euro

NEW YORK (AP) — A weak Spanish bond auction is driving the dollar to its highest level against the euro in nearly three weeks.

Spain expected to sell as much as $4.6 billion in debt Wednesday, but it only sold $3.5 billion, increasing fears that Europe's debt crisis is spreading to bigger economies.

The yield on Spain's benchmark 10-year bond shot up to 5.61 percent, a sign that investors are less confident in the country's finances. A month ago, the rate was below 4.9 percent.

The euro is trading at $1.3128 midday Wednesday, up from $1.3217 Tuesday. The euro fell as low as $1.3106 earlier, its lowest point since March 16.

The dollar is also rising against the British pound and the Swiss franc, but is falling against the Japanese yen.