The euro, which is down against the dollar for a third straight session, last traded 0.8 percent lower at $1.3746 compared with around $1.3690 prior to the report.

"A report that the Greek referendum idea was all but dead seemed to get a response from markets. We saw a bit of a short squeeze in the euro and stocks responded positively as well," said Brian Dolan, chief strategist at Forex.com in Bedminster, New Jersey.