Eurozone business growth hits four-year high; Euro still lower on Greek uncertainties

According to the fresh data, business activity in the 19-member bloc expanded at its fastest pace in four years in June, giving fresh signs of economic recovery.

The Markit Composite Purchasing Managers' Index (PMI), which tracks manufacturing and service sector activity, climbed to 54.1 in June compared with 53.6 in May.

The reading was in line with analyst expectations in a Reuters poll and held above the 50-mark that divides expansion from contraction.

Data released by Markit earlier, signaled that the bloc's two biggest economies - Germany and France - also picked up.

The French PMI data showed the country's manufacturing sector expanded in June for the first time since April 2014.

Germany's composite PMI climbed to 54.0 in June from 52.6 in May.

"We had a really good reading in France – it is now growing at a nice rate and there are signs that consumers are spending more," said Chris Chris Williamson, chief economist at Markit which compiles the PMI data.

In the currency market, EUR/USD was sharply down losing 0.91% to trade at 1.1239, as Greek uncertainties again undermined the sentiment for the single currency.

As Bloomberg reported, Greek Prime Minister Alexis Tsipras has been given 48 hours to bring a deal with his country’s creditors to the finish line and end a five-month impasse. Euro group leaders agreed in Brussels to step up the pace of negotiations to secure a breakthrough on Wednesday that they can sign off at the end of this week.

Meanwhile, the ECB’s Governing Council raised the limit on funding for Greek banks in a telephone conference on Tuesday, said a person with knowledge of the matter, without specifying the size of the increase.

On Monday policy makers lifted the emergency assistance available to Greek banks by about 1.9 billion euros to 87.8 billion euros, and are setting the aid level almost daily as Greece edges closer to a potential default.