Euro’s Slide Below Dollar Parity Brings Little Cheer to Business
- Energy crisis, recession risk are weighing on European assets
- But some firms get an earnings boost from FX translation
The euro’s latest decline has taken it to the lowest since 2002.
Photographer: Kerem Uzel/BloombergThis article is for subscribers only.
Euro-area businesses spent years wishing for a weaker euro. Now it’s here and it couldn’t have come at a worse time.
The currency has slid more than 12% against the dollar this year, taking it below parity for the first time in two decades. That decline is boosting import costs, compounding a damaging surge in energy prices and a record inflation spike ripping through the economy.