* Euro falls vs dollar after hitting 2-week high
* Juppe rules out candidacy in French presidential election
* North Korea's missile test underpins safe-haven yen
* Dollar index flat
(Updates to U.S. market open, adds quote, data, changes byline,
By Dion Rabouin
NEW YORK, March 6 The dollar rose against the
euro on Monday after a former French prime minister ruled out
standing in the country's presidential elections, a development
seen as likely boosting the chances of anti-European Union
candidate Marine Le Pen.
Alain Juppe, who served as France's prime minister from 1995
to 1997, announced earlier Monday he would not seek the
A poll on Friday had showed that if Juppe replaced the
scandal-hit Francois Fillon as the center-right candidate, he
would likely win the election's first round, with centrist
candidate Emmanuel Macron coming second - a scenario that would
knock Le Pen out of the race.
Although polling suggests the far-right Le Pen would lose to
Macron or Fillon in a run-off, investors are mindful of surprise
The news sent the euro 0.2 percent lower to $1.0597,
down from a two-week high it touched earlier in the day.
Market unease over elections this year in France, Germany
and the Netherlands has constrained the euro, despite improving
economic readings across the euro zone, analysts said.
"The election drama, as long as that continues it will
continue to drive (the euro), to keep it subdued," said Juan
Perez, currency strategist at Tempus Inc in Washington. "So
instead of going to $1.07 because of good economic numbers, it
stays between $1.05 and $1.06 because of that drama going on
The dollar also moved higher against the Swiss franc,
Swedish crown and British pound.
News that North Korea had fired four ballistic missiles over
the weekend and U.S. President Donald Trump's unverified claims
that his predecessor, Barack Obama, had wiretapped his
correspondence from Trump Tower spurred buying of the safe-haven
The dollar dropped 0.15 percent against the yen to
113.83 yen, down from Friday's two-week high of 114.75 yen.
After retreating to a one-week low in early European
trading, the dollar was last flat against a basket of world
currencies at 101.53.
(Editing by Ed Osmond and Nick Zieminski)