Euro Tumbles to 17-Month Low Amid Inflation Fears and Political Uncertainty

The euro hit its lowest point in 17 months against the dollar on Thursday, falling below $1.13 for the first time since May 2025.

This decline comes as investors battered European assets due to higher oil prices and inflation, along with mounting political uncertainty.

European stocks fell 0.66% and bond prices dropped, adding to the drag on the euro.

Jane Foley, head of FX strategy at Rabobank, stated that 'this growth risk has been hanging over the euro'.

The dollar clocked its sixth straight quarter of gains against a basket of currencies by the end of September, its longest such stretch since 2022.