The euro crossed the threshold of parity with the US dollar, during today’s trading session, for the first time in nearly two decades, to return to a slight rise.
The first time the e-uro fell to parity with the dollar was in December 1999, and it was not yet a year since the creation of the European currency.
Yesterday, the e-uro fell to $1.005, breaking last week’s low. The last time it was this low was in 2002.
The downtrend for the European currency started quickly, once it traded around $1.15 in February. A series of increasingly large US interest rate increases boosted the dollar, while Russia’s invasion of Ukraine exacerbated the e-urozone’s growth prospects and raised the cost of its energy imports.
Why is the e-uro sinking?
