The single European currency lost over one per cent of its value against the dollar, hitting $1.3347, down from from $1.3507 in New York late Tuesday.
The tone was set early in the day.
Germany was able to sell only 3.6 billion euros' worth of its benchmark 10-year "Bund" out of the 6.0 billion euros on offer, an outcome reflecting "extraordinarily nervous market conditions," according a German spokesman.
"There's been a lot of talk lately that perhaps Germany isn't the safe-haven that many people thought it was," UBS currency strategist Chris Walker commented.
The dollar rose to 77.29 yen from 76.92 yen.
The pound weakened to $1.5530 from $1.5647.
Short link: