The European single currency sank Tuesday to its lowest level against the dollar since 2002 as data pointed to a growing recession risk in the eurozone.
The euro also dived as investors eyed aggressive interest rate hikes by the US Federal Reserve in its fight against inflation, in contrast with the European Central Bank which plans more modest increases.
Just before 0900 GMT, the shared eurozone unit tumbled to $1.0306, threatening a push towards dollar parity for the first time since the euro’s creation in 1999. Economic growth in the eurozone floundered in June, a key survey showed Tuesday, hit by soaring inflation.— AFP
