The European currency fell to a new 8-month low, revisiting a low point touched last week, amid concerns that the financial troubles of Greece and other peripheral members of the European Union may withhold growth in the region.
The single currency also dropped against the Japanese yen and British pound after European leaders sought to prop up Greece with words of support at a summit on Thursday, but failed to make concrete pledges. The EUR fell 0.6% against the Yen to 122.78 yen and lost 1.1% vs. Sterling to 87.16 pence.
Europe's currency is headed for a 5-consecutive-week loss versus the U.S dollar as statements by European leaders left open how the EU would respond to a fresh wave of speculative attacks against the bonds of Greece, or other countries such as Spain and Portugal, which are also struggling to reduce their budget deficits.
In late trading, the EUR was down 0.3% at $1.3680, bouncing off a session low at $1.3596. The EUR climbed as high as $1.3801 earlier, following the EU announcement. Traders are focused on option barriers around $1.3550 and $1.3500, which suggests the EUR could fall near those levels.