The euro fell below 99 cents to the dollar as the energy crisis deepened

The euro fell below 99 cents to the dollar as the energy crisis deepened
The euro fell below 99 cents to the dollar as the energy crisis deepened

Market Commentary by Angela Feliciano, Bloomberg London, 09/05/2022

15:20 | September 5, 2022

Author:
Zornitsa Krusharska

US markets are closed for Labor Day. The shortened business week followed three straight weeks of lower stocks as worries about growth and restrictive central bank policies weighed on markets. This commented Angela Feliciano, Bloomberg London, in her market overview for the show “In Development” with host Delyan Petrishki.

The Stoxx Europe 600 lost 1.1% after Russia’s Gazprom indefinitely halted supplies on a key gas pipeline. The region’s energy crisis has added risks to a global economy already facing high inflation and a wave of monetary tightening.

Energy stocks rose, while auto, chemical and construction materials fell.

Germany’s DAX, filled with companies from these sectors, was Europe’s biggest loser.

This was coupled with the ECB’s unprecedented policy tightening expected on Thursday in the form of a 75 basis point rate hike.

The euro fell below 99 cents to the dollar as the energy crisis deepened.

In individual companies, Yara International fell after Morgan Stanley downgraded it on a more gloomy outlook for natural gas and oil. Norwegian oil and gas producer Equinor rose in price as raw materials rose.

The dollar rose as commodity currencies joined the euro’s retreat to 20-year lows. The pound steadied ahead of Britain’s Conservative Party announcing the winner of the prime ministerial race. Oil rallied ahead of the OPEC+ meeting on supplies.

Bitcoin fell below $20,000 and gold was little changed.

You can watch the entire comment in the video.

You can find all the guests of the “Development” show here.

The article is in bulgaria

Tags: euro fell cents dollar energy crisis deepened