Euro falls as debt talks collapse

Tokyo
The euro fell Monday after talks between Greece and its international creditors collapsed, bringing the threat of a Greek exit from the eurozone closer than ever.
The euro dropped to $1.1220 and 138.50 yen in Tokyo afternoon trade from $1.1260 and 138.92 yen in New York late Friday.
The dollar firmed to 123.43 yen from 123.37 in US trade ahead of an eagerly awaited press conference Wednesday by Federal Reserve chief Janet Yellen after a two-day policy meeting. Analysts said the euro´s fall was limited as investors were still taking a wait-and-see approach to the unfolding debt drama.
"It is true that worries over the Greek exit from the euro are increasing," said Shinya Harui, currency analyst at Nomura Securities.
But "it had already been factored into markets to a certain extent", he told AFP. Negotiations between Greece and its creditors broke down in less than an hour on Sunday, with both sides blaming the other´s refusal to back down on certain issues.