Euro Reaches Monthly-High vs USD, Yen Sees Recovery

30 March 2022

    USD fell to its lowest in almost two weeks on Wednesday, and the euro gained, with traders optimistic about peace talks in Ukraine, despite the warnings of damage to Europe's economy.


    Russia promised on Tuesday to reduce its attack on Kyiv, but the US said it had not seen "signs of real seriousness" from Russia in pursuing peace. The dollar extended its losses on Wednesday, hitting a new  low of 97.797. At 11.07 GMT, the dollar index was down 0.4% on the day at 97.993. The euro rallied against the dollar, up 0.4% at 1.113, having touched its highest in four weeks.


    "Markets appear to have taken an optimistic stance well before peace talks have yielded any result. The FX market may be increasingly detached from trading the Russia-Ukraine situation and start to catch up with the wide moves in rate and growth differentials, all of which point to a stronger dollar”, ING FX strategists commented.


    Investors expect the US Federal Reserve, which raised rates by 25 basis points at its March 16 meeting, to be more hawkish than the European Central Bank, driving the dollar higher against the euro. In Europe, data and policymaker warnings highlighted stalling growth, plummeting confidence and soaring inflation in light go the war in Ukraine.


    The yen, on the other hand, has staged a recovery from its recent seven-year lows, after a meeting between Bank of Japan (BOJ) Governor Haruhiko Kuroda and Prime Minister Fumio Kishida added to speculation about the level of official discomfort with a falling yen. At 11.15 GMT, the dollar was down 0.9% on the day versus the yen, at 121.83.

    The content provided in this material and/or any other material that this content is referred to, whether it comes from a third party or not, is for information purposes only and shall not be considered as a recommendation and/or investment advice and/or investment research and/or suggestions for performing any actions with financial products or instruments, or to participate in any particular trading strategy and cannot guarantee any profits. Past performance does not constitute a reliable indicator of future results. Fondex does not represent that the material provided here is accurate, current, or complete and therefore shouldn't be relied upon as such. This material does not take into account the reader's financial situation or investment objectives. We advise any readers of this content to seek their own advice. Without the approval of Fondex, no reproduction or redistribution of the information provided herein is permitted.


Cookies on Fondex

The Fondex website uses cookies to optimise user experience.

These cookies fall under the following categories: essential, functional and marketing cookies. Marketing cookies may also include third-party cookies.

Manage Preferences

You can customize your selection of which cookies you want to accept.

  • Essential

    These cookies are necessary for the website to function correctly and cannot be switched off.

  • Functional

    Functional cookies allow the website to remember users' preferences and the choices you make on the website such as username, region, and language.

  • Marketing

    These cookies are used to track visitors across our websites and show you more relevant ads. Marketing cookies also include third-party cookies from partners. For more information relating to data protection & collection please view our Privacy Policy and Cookie Disclosure.


The Company would like to inform you that it will terminate its operations under the "Fondex" brand by 30th of December 2022. If you wish to open a trading account, kindly visit