English | دری

Euro at its lowest against US dollar in 11 years

in International Business

Euro at its lowest against US dollar in 11 years

The Euro has hit its fresh 11-year low against the US dollar, standing at USD 1.156.

This comes as the Swiss National Bank (SNB) scrapped its three-year-old pledge to limit the value of the franc to 1.20 per euro, which resulted in Euro’s more than 18% drop against the Swiss franc.

The purpose of the pegging was to weaken Swiss franc against the Euro to attract trade, but the SNB dropped the strategy, as they see Euro plunging drastically.

Dealers speculated the Swiss had moved because they knew the European Central Bank would take the plunge into full-scale quantitative easing, effectively the printing of hundreds of billions of Euros, at its policy meeting on Jan. 22.

According to Bloomberg, the dollar has climbed 2 percent in the past month, the best performance among 10 developed-nation currencies tracked by Bloomberg Correlation-Weighted Indexes after the franc’s 15 percent jump. The yen gained 0.9 percent while the euro tumbled 6.5 percent to lead declines.


Tags assigned to this article:
Euro Vs US DollarFranc

Related Articles

SK Group chairman imprisoned on charges of embezzlement

Embezzling USD 46mn of the SK Group’s fund for personal investments, the group’s Chairman is sentenced to four years in

China reports a slowdown in manufacturing growth

One of the biggest drivers of Chinese economic growth, the manufacturing sector shows signs of contraction yet again. The Purchasing

Eurozone crisis: Spain's borrowing costs fall

Spain’s short term borrowing costs tumbled on Tuesday as it raised 4.51 billion euros, on hopes that the European Central

No comments

Write a comment
No Comments Yet! You can be first to comment this post!

Write a Comment

Your e-mail address will not be published.
Required fields are marked*

Time limit is exhausted. Please reload the CAPTCHA.