The euro falls to its lowest levels in more than two years against the dollar

The euro fell on Thursday to its lowest levels in more than two years against the dollar, driven by the imminent return to the US presidency of Donald Trump, who intends to adopt policies that would raise the value of the US currency.
The price of the euro reached 1.0314, its lowest value against the green currency since late November 2022, before rising to 1.0332.
The value of the dollar also improved against the British pound, which lost 0.51% of its value, equivalent to $1.2453, its lowest level since April 2024, when its exchange rate fell to $1.2435.

Interest rates

In the United States, the Federal Reserve no longer intends to cut interest rates except twice this year, compared to four that were previously expected.
Analysts expect that the European Central Bank will reduce its rates at a more steady pace than the US Federal Reserve, given the weak economic growth in the euro zone, where the inflation rate is approaching 2%.
As for the British Central Bank, experts expect it to make two or three cuts to its interest rates in 2025.