The common currency of the European Union benefited on Tuesday from remarks by an executive with the regional central bank who said the leader of regional finance ministers was wrong when saying on Monday that the restructuring of Cyprus will serve as a regional model, Bloomberg reports.
The euro climbed from scraping its lowest value in four months on Monday after Benoit Coeure said Jeroen Dijsselbloem was off the mark with his commentary about the banking system of Cyprus, which will receive emergency bailout aid.
"Dijsselbloem comments will stay the focus of markets today," economist Joost Beaumont with ABN Amro told Reuters on Tuesday. "Markets are recovering a little bit, and with the ECB (European Central Bank) now the lender of last resort it is hard to see a return to the depths of the crisis, but it is difficult to see a sharp rebound."
On Monday, the euro endured losses that pushed as high as 1.4 percent against the world 's reserve currency.
Concerns were growing stronger in the region about personal bank accounts being vulnerable as additional euro zone countries continue enduring troubles with the sovereign debt crisis, according to Reuters.
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