Euro falls to its lowest level in 17 months
The exchange rate to the US dollar collapses to 1.116 - concerns about public finances in France are increasingly putting pressure on the common currency.
Quick Look
- The euro fell to its lowest level in 17 months, hitting $1.116 on Monday.
- The trigger is investors' growing concerns about public finances in France and the associated risks.
AI-generated summary
Why It Matters
Concerns about public finances in France have recently driven up yields on French government bonds.
Dusseldorf. The euro has fallen to its lowest level in 17 months. The exchange rate against the dollar was at its lowest point on Monday at 1.116. The last time the common currency was this weak was in May 2025.
Concerns about public finances in France are seen as the trigger. These had already driven up yields on French government bonds in recent weeks. Investors demand greater risk compensation when holding French debt.
“The worries have now also spread to the euro, which has remained more or less unaffected by the escapades on the bond markets in recent months,” explains analyst Thu Lan Nguyen from Commerzbank. Investors' concerns are no longer limited to France.
Open Questions
- How are the European institutions reacting to the financial concerns?
- Are investors' concerns spreading to other euro countries?
