Euro Gains for 2nd Day on Optimism Leaders Near Solution

The euro rose for a second day versus the dollar as traders said the shared currency’s decline may have been too quick after European leaders agreed to discuss closer banking cooperation in the euro bloc.

The 17-nation currency gained from a more than 11-year low against the yen amid speculation that traders were unwinding wagers the shared currency would decline. The dollar strengthened against the yen as Treasury yields rose for the first time in four days, from record lows. Australia’s dollar fell as investors bet the central bank will cut rates at meetings tomorrow. Canada’s dollar weakened as policy makers are expected to back away from interest-rate increases this week.