Euro slides to 20-year low against the dollar as recession fears build

Euro slides to 20-year low against the dollar as recession fears build


A euro currency symbol sits on display in the visitor centre at the European Central Bank (ECB) building in Frankfurt, Germany.

Alex Kraus | Bloomberg | Getty Images

The euro fell to its lowest level in two decades on Tuesday, sliding over 1% to hit $1.0305.

It comes as fears of a recession in the euro zone ramp up, as gas prices soar and the Ukraine war shows no signs of abating.

Euro zone inflation hit a record 8.6% in June, prompting the ECB to give markets advance notice of its intention to hike interest rates for the first time in 11 years at its July meeting.

However, growing fears of a recession may limit the central bank’s capacity to tighten monetary policy. The July Sentix Economic Index on Monday showed investor morale across the 19-country euro zone has plunged to its lowest level since May 2020, pointing toward an “inevitable” recession.

The euro has lost over 9% of its value against the dollar since the start of the year.

This is a developing story and will be updated shortly.



Source

London IPO fundraising hits a three-decade low in another blow to the UK capital
World

London IPO fundraising hits a three-decade low in another blow to the UK capital

City of London skyline with 20 Fenchurch Street, affectionately nicknamed the Walkie Talkie, in London, United Kingdom. Mike Kemp | In Pictures | Getty Images Fundraising from London IPOs slumped to at least a three-decade low in the first half of this year, new data showed on Friday – raising fresh questions about the fading […]

Read More
Defense tech stocks have surged – and analysts say these names have higher to go
World

Defense tech stocks have surged – and analysts say these names have higher to go

From the battlefield to the halls of Congress, a shake-up is underway that will change how armed forces around the world prepare for conflict and engage with adversaries. June began with a wake-up call about how versatile and effective drones could be in warfare. After 18 months of planning, Ukraine successfully smuggled containers armed with […]

Read More
A year after its landslide win, Britain’s Labour Party is navigating a tougher-than-expected path
World

A year after its landslide win, Britain’s Labour Party is navigating a tougher-than-expected path

British Prime Minister Keir Starmer and his wife Victoria Starmer react as they greet Labour campaigners and activists at Number 10 Downing Street, following the results of the election, in London, Britain, July 5, 2024.  Toby Melville | Reuters It’s been one year since Labour returned to power in a landslide victory that appeared to show […]

Read More