London, Jan. 9 (Bloomberg) -- The euro remained near a three- year high against the dollar after the European Central Bank left its main interest rate unchanged at 2.75 percent. The euro was trading at $1.0514 at 12:46 p.m. in London compared with $1.0486 late yesterday. It earlier rose to $1.0538, its highest since November 1999. Europe's currency has gained 17.8 percent against the dollar in the past 12 months.
Economists surveyed by Bloomberg hadn't expected a rate reduction today, although the slowdown in the economies sharing the euro suggest a cut is possible in coming months, investors said. German unemployment rose to a 4 1/2-year high in December, adding to evidence Europe's largest economy may have contracted last quarter. ``We're definitely expecting a rate cut'' to spur growth, which would be good news for the euro, said Scott Barlass, who helps oversee $22 billion as director of currency risk at Abbey National Asset Managers in Glasgow, Scotland, before the rate decision. Germany's economy ``continues to disappoint.'' //www.quote.bloomberg.com