LONDON—The euro fell against the dollar on Thursday after data showed inflation in the eurozone was not as high as investors had feared based on national readings in recent days.
Eurozone inflation eased to 8.5 percent in February from 8.6 percent a month earlier on lower energy prices, but still came in above a predicted 8.2 percent in a Reuters poll of economists.
But market reaction to the data was muted after the euro rose 0.9 percent against the dollar on Wednesday, its biggest daily jump in a month, after prices in Germany rose more than hoped last month.
The hotter-than-expected German inflation in February came after unexpectedly strong readings in France and Spain, reinforcing the case for the European Central Bank to keep raising interest rates….