During early European on Monday, the euro pared some of its early Asian session gains against the currencies of US, UK and Switzerland. The euro thus eased from new multi-week highs against the dollar and the franc and a 6-day high against the pound.
Against the yen, the euro showed choppy trading after surging up to a 1-week high in late Asian deals.
The euro jumped in early Asian deals today on a bailout package to Greece by the European governments on Sunday.
European countries on Sunday offered a bailout package worth about EUR 45 billion or $61 billion to save sinking Greek economy as the after-effects of the financial crisis in the Mediterranean nation loomed over the entire Eurozone.
The rescue package includes mainly below-market interest rate loans of about three year maturity. Two thirds of the aid will come from the European countries and the rest will be contributed by the International Monetary Fund.
Despite the massive aid offer from European governments, it is quite unclear whether the Greek government will accept it as they are going ahead with their own dollar-denominated debt issues and an austerity drive.
With the offer the European nations aim to ensure the stability of their common currency Euro, which in recent times was much affected by the Greek turmoil.
The crisis in Greece started last October when its government revealed that it is running a budget deficit exceeding the stipulated norms.
The euro that jumped to a new multi-week high of 1.3693 against the US dollar at 12:55 am ET Monday declined thereafter. As of now, the euro-dollar pair is trading at 1.3602 with 1.350 seen as the next downside target level.
The euro dropped against the Swiss franc after reaching a new multi-week high of 1.4468 at 2:25 am ET Monday. At present, the euro-franc pair is worth 1.4421. If the pair slides further, it may likely target the 1.440 level.
At 5:55 am ET Monday, the euro touched 0.8808 against the pound, falling from a 6-day high of 0.8851 hit in early Asian deals. The next downside target level for the euro is seen at 0.871. Currently, the euro-pound pair is worth 0.8813.
After reaching a 1-week high of 127.47 against the yen at 12:55 am ET Monday, the euro showed choppy trading and extended the same trend in early European deals. Presently, the euro-yen pair is worth 127.30.