The European common currency fell against its major counterparts with the start of the euro leaders Summit at 11:00 GMT in Brussels, where the leader of the European Finance Ministers, Jean-Claude Junker, said the possibility that Greece faces a selective default can not be avoided.

Today, the leaders seek to pass a second rescue fund for Greece in addition to introducing measures that prevent the spread of contagion to other highly-indebted nations in the region, especially Italy and Spain.

The euro pared its earlier advance when it rose after Merkel and Sarkozy announced that they agreed on measures, which they said will be announced in the meeting, to pass a second bailout for the debt-strapped Greece.

However, the euro retreated after the release of downbeat data that showed that the growth pace may continue its slowdown in the third quarter.

Manufacturing plunged to 50.4 in July from 52.0 in June and services showed further decline in July to 51.4 from the prior 53.7, according to PMI gauge.

On the other hand, the dollar advanced against a basket of major currencies, as depicted by the dollar index which rebounded to 74.95 after falling to a low of 74.52 earlier today ahead of the release of jobless claims and other U.S. data.

With regard the euro-dollar pair, it is currently trading at 1.4175 where it was pushed down by resistance at 1.4220. The pair has recorded a high of 1.4294 and a low of 1.4136, whereas the trading range for today is among the major support at 1.4040 and the major resistance at 1.4445.

Moving to the British pound versus the dollar, it is showing a slight rise to trade at 1.6165, where the trading remains around strong resistance at 1.6155.

The sterling rose after upbeat public finance and retail sales data. Public sector net borrowing excluding interventions showed that the deficit has narrowed to 14.0 billion pounds from the revised deficit of 16.6 billion pounds deficit, while retail sales with auto fuel advanced 0.7% in June from the revised -1.3%.

So far, the pair has recorded a high of 1.6198 and a low of 1.6119, whereas the trading range for today is among key support at 1.5935 and key resistance at 1.6380.

Concerning to the dollar-yen pair, it is showing slight incline on the daily basis, where the pair is hovering around 78.80 while it opened the day at 78.76, whilst the high was recorded at 79.03 and low is at 78.60.The trading range for today is among key support at 77.10 and key resistance now at 80.05.