Euro drops to 22-month low against the dollar

The euro has fallen to the lowest level against the dollar in 22 months, following hints by ECB President Mario Draghi that more policy involvement may be needed to boost the Eurozone. 

 

The common currency had fallen to $1.273, taking it to the levels last seen in 2012. 

 

Draghi was quoted in a Lithuanian paper this morning (September 25) saying: 

 

"We stand ready to use additional unconventional instruments within our mandate, and alter the size or composition of our unconventional interventions should it become necessary to further address risks of a too prolonged period of low inflation.”

 

The chart below shows how the euro has fared against the dollar (and the greenback versus other currencies) in the last 12 months.