Currency Buzz: Dollar Index Surges As Euro Slides Back Below Parity

5 Sep 2022 , 01:39 PM

The US dollar index soared to fresh two decade highs on Monday, as the euro that carries the maximum weight in the dollar basket fell sharply after Russian energy supplier Gazprom announced on Friday that it would not resume its supply of natural gas to Europe through the key Nord Stream 1 pipeline because of a malfunctioning turbine. The euro is lingering below parity against the dollar at $0.99. Meanwhile, the dollar index that tracks the greenback against a basket of currencies surged to as much as 110.06, up nearly half a percent. Besides, dollar has been gaining on the back of expectations that the Federal Reserve will continue with its aggressive monetary tightening, especially after the release of the better-than-expected nonfarm payrolls data last week. Powered by Commodity Insights