The euro slumped to a new two-year trough against the dollar and five-week low versus the yen on Tuesday after a meeting of euro zone finance ministers failed to assuage concerns about the region's crisis.
The euro fell as low as $1.2233, its lowest since July 1, 2010. It last traded at $1.2254, down 0.5 percent on the day.
The common currency also fell to a five-week low of 97.20 yen and last traded down 0.7 percent at 97.36, according to Reuters data. Sterling, meanwhile, hit a fresh 3-1/2-year high against the euro as the market's focus switched back to the euro zone debt crisis, spurring the pound to recover from an early dip caused by comments from the Bank of England governor.
The US currency last traded down 0.2 percent against the yen at 79.42 yen, according to Reuters data.