FX round-up: Euro weighed down by no vote in Greece

The single currency retreated following news that Greeks had voted overwhelmingly against accepting international creditors’ bail-out proposals.

Euro/dollar fell 0.97% to 1.0945. Euro/pound dropped 0.73% to 0.7083.

Late in the afternoon, the European Central Bank’s Ewald Nowotny stated the chances of reaching an agreement with Greece were “not good”.

That came close on the heels of the ECB’s announcement it would increase its haircut on Greek debt to 45% and that it had refused a request from Greek lenders for fresh aid.

Dollar/yen slipped 0.21% to 122.5 while cable edged higher by 0.23% to 1.5604.

In the afternoon, the US Treasury successfully auctioned $48bn in three and six-month bills.

The ISM’s PMI for the US manufacturing sector improved to a reading of 56 from the prior month’s reading of 55.7 (consensus: 56.4).

German factory orders decreased by 0.2% month-on-month in June (consensus: 0.4%).