Euro at the lowest value against the US dollar

Euro at the lowest value against the US dollar

Greek political problem is seen also weighed on the European currency this.

The euro fell to its lowest level against the dollar in nine years while the investors the European Central Bank (ECB) will act to revive the economy.

Currency together several European countries were down 1.2% against the dollar at US $ 1.1864, the lowest yangh since March 2006, before subsequently improved slightly to US $ 1.19370.

The decline came as ECB president, Mario Draghi, delivered remarks signaled the bank may soon be doing quantitative easing (QE).

Greek political problem is seen also weighed on the European currency this.

Although the ECB has cut interest rates at the lowest level and buy some obiligasi several companies swasra, quantitative easing program on a large scale is still not launched.

But on Friday (02/01) Draghi hinted in a newspaper interview that the ECB is likely to soon start QE policy by buying government bonds, imitating his colleagues in the UK and the USA.

The goal is to inject cash into the banking system, revive the economy and further push up the price. (BBC)