The euro declined as European Central Bank President Jean-Claude Trichet said “downside risks” to the euro-area economy have intensified, signaling the ECB may keep interest rates on hold in the coming months. The 17-nation euro extended declines versus the dollar after Trichet said inflation risks are balanced, and no longer to the upside. It dropped earlier as the ECB kept its main interest rate on hold at 1.5 percent, as predicted by all 57 economists in a Bloomberg survey. The dollar strengthened before President Barack Obama unveils proposals to spur job growth and the U.S. economy. The pound rose against most ... (full story)