The U.S. dollar pushed to a fresh 20-year high after the Federal Reserve’s interest-rate decision today!
Market anxiety over Russia’s escalation in the war in Ukraine also drove investors to seek shelter in the safe-haven currency.
After Mr. Putin’s announcement, the euro was 0.7% weaker against the dollar, falling below parity.
Tweet on latest currency market swings
Market anxiety over Russia's escalation in the war in Ukraine drove investors to seek shelter in the safe-haven currency, the USD!
After Mr. Putin's announcement, the euro was 0.7% weaker against the dollar, falling below parity, via @BusinessInsiderhttps://t.co/YTc6clopaV
— The_Journalbiz (@the_journalbiz) September 21, 2022
The Dollar Index was up 0.3%, after closing at the highest level since February 2002
The euro slipped 0.4% to $0.9930 against the greenback.
The British pound extended its declines after hitting a 37-year low against the dollar last week, slipping 0.32% to $1.1345.
The dollar’s rise came alongside a rise in global oil prices. That’s a notable change from the past few months, as the dollar and oil have been moving in opposite directions since June.
A stronger U.S. currency intensifies demand for crude and other commodities priced in dollars because they become more expensive for other countries to buy.