As the US economy went into meltdown during the 2008 global financial crisis, one euro was worth about 1.6 times the US dollar. Now a combination of Europe’s front-line exposure to Russia’s war in Ukraine and the European Central Bank’s tardiness in raising interest rates have driven it to parity, or a 1:1 ratio with the dollar. It’s the first time the euro has sunk to that level since 2002, in the early years of the currency’s existence. WHY IS THE EURO SINKING? Europe suffers most from the war, which has sparked an energy crisis and could lead to potentially a long and deep recession. That places the ECB in a ... (full story)