“The euro fell to its weakest level against the dollar in two years on concerns about the European economy and the difference in monetary policy between the EU and the US.”, — write: epravda.com.ua
The euro fell to its weakest level against the dollar in two years on concerns about the European economy and the difference in monetary policy between the EU and the US. This is reported by the Bloomberg agency. The common currency fell 0.4% to $1.0314, its lowest level since November 2022. Since the end of September, when the exchange rate exceeded $1.12, the euro has depreciated by about 8%. Among the main reasons for the drop are fears that the region’s export-oriented economies will be hurt by US trade tariffs, as well as expectations that the European Central Bank will cut interest rates more aggressively than the US Federal Reserve.Advertisement: Political instability in the EU’s biggest economies is also putting pressure on in euros Many strategists predict that the euro will fall to or even below parity with the dollar this year. The last time this psychological barrier was overcome was in 2022, when Russia’s full-scale invasion of Ukraine caused an energy crisis in Europe and increased fears of a recession. Advertisement: We will remind: the National Bank adjusted the official exchange rate of the hryvnia against the dollar, setting a new minimum of 42 as of December 31 0390 hryvnias/dollar, which is 10 kopecks below the previous level.