The value of the euro has fallen below that of the dollar once again, sinking to its lowest level since the launch of the European single currency in 2002.
As European stock markets closed on Monday, the euro was worth $0.9941.
The European currency is losing value because of fears of a recession in Europe due to the energy crisis. In addition, the US central bank is much more proactive than the European Central Bank in curbing sky-high inflation with higher interest rates.
European exporting companies will benefit relatively well from a weaker euro, as their goods become cheaper for customers outside the eurozone. Conversely, imports – including oil and gas – will become more expensive.
