Witness history!1 euro is equal to $ 1, will the euro continue to fall?

draw! On the 12th, the euro against the US dollar's exchange rate fell to 1 for a while. As of press time, the euro was reported to the US dollar 1.0005, down 0.34%.

According to Reuters, the market is worried that the energy crisis will cause the euro zone to fall into decline, and the Federal Reserve has a faster interest rate increase and a larger expectations to boost the US dollar. CCTV news reports also pointed out that the weakening of the euro exchange rate is mainly due to the slowdown in European economic growth in the near future, and the market has continuously reduced the expectations of the European Central Bank's interest rate hike expectations. In addition, the market's expected increase in the US Federal Reserve Commission's expected increase in interest rate hikes at the end of July has led to a stronger exchange rate in the US dollar. According to reports, market participants believe that the European Central Bank expects to curb inflation through interest rate hikes, and is worried that interest rate hikes will cause some southern European countries to increase debt pressure. Therefore, the movement is slow. The tightening pace of the European Central Bank lags behind the Fed, which puts the euro exchange rate. In addition, the euro group stated on the 11th that due to unfavorable factors such as high energy prices and deteriorating global trade conditions, 19 member states in the euro zone are currently facing further inflation pressure. At the same time, the economic growth prospects of the euro zone have been weakened. The Shanxi Securities Research Report pointed out that since July, with the rise of the US dollar index, the euro exchange rate against the US dollar has settled rapidly. In summary, the rapid exploration of the US exchange rate of the euro, mainly due to the wide range of national interest differences between the euro zone that caused the European debt crisis to rise and the expected rise of recession, which is the result of the slowdown in the market trading European Central Bank. Will the euro continue to fall? According to Shanxi Securities, regardless of the intensity of tightening or economic support, the euro exchange rate still has the logic of further downward. The strengthening of the euro against the US exchange rate is passively under pressure. In the second half of the year, it may fall below the parity to challenge the 0.98 support point. Shanxi Securities also believes that the euro is derogatory and degraded in the final analysis, reflecting that my country is facing pressure on European exports, so it affects the profit expectations and profitability of related companies. At the same time, the European debt crisis alert resurgence or will the staged impact on the A -share market risk appetite. It is recommended to keep attention to the European Central Bank, but the above -long and long -term impact of the above shock is limited and it is not sustainable. my country's market is expected to be based on economic upward definitation. And gradually reproduce the advantages of "shelter". In the early morning of July 12, Beijing time, the US dollar index set a new high for nearly 20 years. As of the end of the New York's foreign exchange market, the US dollar index rose 0.95%to 108.0220. As of press time, the US dollar index was reported at 108.4886.

(Zhongxin Jingwei)

Edit: Zhao Shanshan

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