The cost for European banks to fund in dollars rose for a sixth day to the highest levels in three years, according to money-market indicators. The three-month cross-currency basis swap, the rate banks pay to convert euro payments into dollars, was 159 basis points below the euro interbank offered rate at 8:25 a.m. in London, from minus 158 yesterday. The measure is the most expensive on a closing basis since October 2008. The one-year basis swap was little changed at 105 basis points under Euribor, data compiled by Bloomberg show. A basis point is 0.01 percentage point. The Euribor-OIS spread, a measure of banks’ ... (full story)