Euro Strengthens as EU Leaders Broaden Rescue, Yen Falls on BOJ

The euro advanced versus a majority of its 16 most-traded counterparts after European Union leaders agreed on a retooled bailout plan for the region’s most indebted nations.

The 17-nation currency rose for a second day against the dollar after regional leaders agreed during the weekend to widen the scope of a rescue fund aimed at resolving the debt crisis and cut the cost of loans to Greece. The yen erased a gain against the dollar as Japan’s central bank said it will add 15 trillion yen ($183 billion) to the financial system and increase its asset-purchase program following last week’s earthquake. South Africa’s rand posted the best performance against the greenback among the major currencies on rising gold prices.