On July 6, the euro fell to its lowest level since 2002.
According to Investing.com, it is 1.0186 per $1 as of 20:00.
Bloomberg writes that traders are convinced that the euro will break parity with the dollar. Nomura International Plc strategist Jordan Rochester sees the euro falling to 0.98 by August.
Bloomberg journalists note that the probability that the currency will reach parity with the dollar in the next month is 50%.
The reason is in Russia. Due to a decrease in the supply of gas from the Russian Federation to Europe, the region may plunge into recession. This will cause an economic shock.
“Europe’s energy dependency on Russia is falling, but not fast enough to avoid recession if the pipeline is closed. If that happens, EUR/USD will likely lose another 10% or so,” said Kit Juckes, chief global currency strategist at Societe Generale.
- On July 6, PrivatBank and monobank set the market exchange rate for non-cash transactions. First of all, this applies to card conversion rates.