Euro Extends Decline

The EU currency dropped to a new 12-year slump and continued a considerable regression as the European Central Bank started printing notes to acquire sovereign bonds.

Debt yields of almost all euro bloc nations went down to unparalleled lows immediately. 10-year earnings of Germany were down by 16 basis points or 0.237 percent this week. A two-year bond offers negative return of 0.235 percent.

The euro slipped to $1.0666 with this most recent decline nearly matching the 2003 low of $1.0501.

It also touched a seven-year trough versus the UK pound sterling at 70.79 pence while plunging to an 18-month low point against the Japanese currency or 129.48 yen.

The euro remains under duress because of continuing doubts regarding Greece.

The greenback has been kept afloat by expectations that the US Central Bank can increase interest rates by the middle of 2015. The dollar index climbed to the highest level in over a decade at 98.776.

The dollar was at par with the Swiss franc and reached close to an eight-year peak of 122.04 yen. Currency pairs bannered by USD surpassed numerous projections and achieved trading targets. However, scores of market stakeholders are wondering whether moves were unwarranted.

Of different commodity currencies, the Aussie dollar plunged to a six-year low of $0.7603. Reserve Bank of Australia Assistant Governor Christopher Kent claims the decline of the domestic currency will boost the national economy.