Investing.com - The euro fell to session lows on Thursday following reports that Germany rejected a proposed bailout extension request from Greece, as Athens faces running out of money by the end of the month.
EUR/USD touched lows of 1.1356 and was last down 0.21% to 1.1372.
The Greek government submitted a request for an extension of its existing loan agreement with the euro zone, which it differentiates from its bailout, earlier Thursday.
The Greek request included a pledge to maintain "fiscal balance" for a six-month period, in order to give it time to reach a new agreement on growth over the next four years with its partners in the euro zone, Reuters reported.
But German Finance Minister Wolfgang Schaeuble said it was "not a substantial proposal for a solution" and did not meet the criteria agreed on at the euro group meeting of euro zone finance ministers on Monday.
Greece’s current €240 billion bailout will expire on February 28 and the country will run out of money, which could trigger the country’s exit from the euro zone.
The European Commission had earlier welcomed the bailout extension request, saying it could pave the way for compromise and stability in the euro zone.
Elsewhere in the euro zone, the European Central Bank published the minutes of its January meeting on Thursday, which showed that the Governing Council "broadly shared" the view that quantitative easing was needed.
It was the first time ever the ECB published meeting minutes.
EUR/JPY was last at 135.33, almost unchanged for the day, while USD/JPY eased up 0.16% to 118.97.
Sentiment on the dollar remained softer after the minutes of the Federal Reserve’s latest meeting prompted investors to trim back expectations for mid-year rate hikes.
The Fed’s January meeting minutes showed that some officials thought that raising rates too soon could weigh on the U.S. economic recovery, and that a deterioration in the global economic outlook could also pose a threat to the recovery.
The U.S. was to release data on initial jobless claims later in the trading day.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.32% to 94.43.