Euro hits 9-year low of $1.18

Reuters Updated - December 07, 2021 at 01:44 AM.

euro

The euro extended losses on Thursday to hit a 9-year low against the dollar, as investors ramped up bets that the European Central Bank was getting closer to adopting a large-scale quantitative easing programme to ward off deflation.

A slump in German industrial orders in November reinforced bearish views of the single currency.

The euro fell past reported option barriers at $1.18 to hit a low of $1.17915 on trading platform EBS. It was the single currency’s lowest level since late December 2005.

Data on Wednesday showed consumer prices in the euro zone fell in December from a year earlier, marking the first annual decline since 2009. That cemented expectations that the ECB will probably announce a bond buying programme at its policy meeting on January 22.

Published on January 8, 2015 09:33