Weighed down by inflation and the war in Ukraine, the euro is worth a dollar for the first time in twenty years

The US currency has gained almost 14% since the start of the year. Article written by Published on 07/12/2022 11:49 Updated on 07/12/2022 12:00 Reading time: 1 min. An unprecedented situation since the beginning of the century. The euro, which has been falling heavily for several days due in particular to inflation and the conflict in Ukraine, reached parity with the US dollar on Tuesday, July 11 for the first time since 2002. A fall in the value of the euro against the dollar can stimulate exports, but it can also handicap European countries in terms of energy because oil purchases are made in dollars. Faced with the troubles caused by the war in Ukraine and the heavy dependence of many European economies on Russian hydrocarbons, the American greenback has for its part regained its status as a safe haven in recent weeks, gaining nearly 14% since the start of the crisis. ‘year. The dollar was also “stimulated by the monetary policy of the Fed, which raised its key rates by three quarters of a point in mid-June”, remind Les Echos. Share: Share on Twitter Share on Facebook Share by email Share link