Euro loses value after Merkel remark

The value of the shared currency of the European Union dipped on Wednesday after pessimistic commentary by German Chancellor Angela Merkel regarding the 17-nation bloc, according to Bloomberg.

The leader of the top economy of the euro zone said the "European project" is at risk and noted that policy makers must re-double efforts to rein in the sovereign debt scourge. For nearly three years, the debt scourge has been attacking euro zone banks, markets and public finance systems.

The German premier's remark "is quite a remarkable statement," chief currency strategist Simon Derrick with Bank of New York Mellon Corporation in London told the news source. "That has pulled the rug from underneath the euro. It's a reminder that you can never take your eye from the euro crisis. On the medium term we are still targeting below $1.20."

The Dollar Index, a metric of the value of the world's reserve currency against six rival monetary units, gained 0.3 percent.

But Reuters reports gains to the dollar against the euro were tempered by Tuesday testimony of U.S. Federal Reserve chair Ben Bernanke, whose assessment left open the possibility of economy-spurring measures. He is set to resume testimony on Wednesday.