Euro at 20-year low

The energy crisis continues to increase its pressure on the euro. In the first transactions of the new week, the euro fell below 0.99 for the first time against the dollar. Thus, the euro fell to its lowest level in 20 years. The energy crisis in Europe pushed the continent's common currency to its lowest level in 20 years. The euro/dollar parity tested below 0.99, reaching its lowest level since 2002. The main determining factor regarding the pricing on the parity was the energy crisis that has worsened recently. Russian energy company Gazprom announced that natural gas shipments from the Nord Stream pipeline were suspended for an indefinite period. In a written statement from Gazprom, it was stated that malfunctions were detected in a turbine in the Nord Stream, which was taken under maintenance on August 31 and is expected to be operational again tomorrow. It was stated in the statement that natural gas shipments from the line could not be carried out without repairing the malfunctions, and that for this reason, it was decided to suspend natural gas shipments via the Nord Stream for an indefinite period. In contrast, there had been a price ceiling move for Russian oil from the G-7 countries. The finance ministers of the G-7 countries confirmed in a joint statement that they have agreed to impose price caps on crude oil and petroleum products imported from Russia. Western leaders agreed in June to impose a cap on the price that refiners and commercial buyers can pay to import Russian crude, in an effort to limit Moscow’s war-making revenue without cutting off Russian oil supplies.