The community currency is about to be exchanged for the same value as the US currency after falling almost 20% in the last year
The euro is about to be worth exactly the same as the dollar. It is the one denominated as parity of the two great currencies of the world after a continuous decline that the value of the community currency has experienced in recent months, in an evolution that has favored the American currency. At the start of the session this Friday, one euro is exchanged for 1.01 dollars.
If it reaches the same change, it will be the first time that both are worth the same for the first time in the last 20 years. This morning it falls 0.4% compared to yesterday’s close, and has been down for almost a year, a period in which it has lost 20% of its value.
The fall of the euro is basically explained by the uncertainty surrounding the expectations of the euro zone economy, heavily weighed down by the effects of the Russian invasion of Ukraine. The European Central Bank (ECB) will probably raise interest rates on the 21st, although it would do so by 0.25 points, the minimum to which it aspires, far from raising rates of half a point, as some analysts expected.
Quite the contrary, in recent months the Federal Reserve (FED) has increased its interest rates to around 1% on average, in a much more agile and dynamic monetary policy given the high levels of inflation registered in that country since the beginning. of the invasion.
The fall of the euro has a fundamental effect on the capital that Europe allocates to pay for the oil it receives from the rest of the world, since this raw material is paid in dollars. As this currency is increasingly strengthened, the disbursement is increasing by European economies, such as the Spanish.
This morning, the price of a barrel of Brent quality oil, a reference for the Old Continent, was quoted at 104.62 dollars, with a decrease of 0.03%, while the Texas stood at 102.14 dollars, with a retracement of 0.57%.
The Stock Exchange, in tables
The Ibex 35 has started the session this Friday with a decline of 0.27%, which has led the selective to be on the verge of losing 8,100 points, with investors pending the publication of new macro data, such as unemployment of the United States, and the appearance of the president of the European Central Bank (ECB), Christine Lagarde.
Specifically, the Madrid selective has started the session at 8,100 points, in a context that continues to be characterized by high inflation, the decisions of the central banks, the fear of an economic slowdown, the loss of ground of the euro against the dollar, and the war between Russia and Ukraine.
Like Madrid, the main European markets also woke up in negative in the last session of the week, with falls of 0.3% in Frankfurt and 0.2% in London. For its part, Paris woke up almost flat (-0.03%).
Within the Ibex 35, most of the values recorded declines in the early stages of the session. The biggest setbacks were recorded by Merlin (-3.54%), Iberdrola (-3.22%), Acerinox (-2.34%), ArcelorMittal (-2.22%) and Indra (-1.6%) .
Among the few increases in the opening, Inditex (+1.5%), Meliá (+0.7%), Enagás (+0.5%) and Aena stood out, which rose 0.4% after the agency Moody’s credit rating has upgraded its outlook from ‘negative’ to ‘stable’ and confirmed its long-term rating at ‘A3’.