World stocks slipped back on Thursday and the euro fell half a percent against the dollar on worries about Greece not receiving European Union aid.
Wall Street looked set for a weak opening.
The euro was trading at $1.3673, recovering slightly from a session low of $1.3648.
An unidentified Greek official was quoted in a newswire report as saying the country was growing increasingly pessimistic about the prospect of help at a European Union summit on March 25 and may seek International Monetary Fund aid.
Greece's finance minister later described the report as "ridiculous" and said all options for getting support to escape a debt crisis were still open.
"This just highlights the uncertainty surrounding the Greece issue. There seems to be no consensus in the euro zone, which is undermining confidence and that is what is weighing on the euro today," said Antje Praefcke, currency strategist at Commerzbank.
Greek Prime Minister George Papandreou told the European Parliament on Thursday his country would not be able to sustain its planned deficit cuts if it had to continue borrowing at high rates.
He also said Greece was not asking for help, but wanted political support and that Europe needed to take action.
Papandreou added that Greece would not default.
The premium investors demand to hold Greek government bonds rose. The Greek/German spread widened to 316 basis points, according to Tradeweb.
The cost of insuring Greek government debt against default also rose.
STOCKS OFF HIGHS
World stocks were flat or weaker, but in many cases coming off recent highs.
MSCI's all-country world stock index dipped 0.2 percent as did its emerging market-only counterpart.
Europe's FTSEurofirst 300 was flat after a two-day rally that took it to a 17-month closing high. Earlier, Japan's Nikkei closed down 1 percent, falling from Wednesday's two-month closing high.
"The market is pricing in that there is no prospect of higher interest rates any time soon in the west, but that's because of a danger of a relapse in the economy, and there are doubts creeping in about the … support for the Greece rescue plan," said Bernard McAlinden, investment strategist at NCB Stockbrokers in Dublin.
