The euro falls to its lowest level in 28 months

The euro hit Tuesday its lowest level in 28 months against the dollar as investors take into account a further decline in negative euro area interest rates.

The money markets have raised expectations for the European Central Bank to cut interest rates by 83 basis points at its meeting next week, to 83%, currently at 0.4%.

The ECB is also almost committed to putting in place a monetary stimulus package including further quantitative easing due to slower economic growth and the fact that the German manufacturing sector has entered recession. A survey conducted on Monday showed that the European manufacturing sector was contracting for the seventh consecutive month, reinforcing expectations regarding the European Central Bank 's easing policy.

In contrast, the single European currency fell in Asian trade to 1.09305 USD, its lowest level since mid-May 2017, after having crossed the high level of 1.1 000 USD last week.

The pound fell to its lowest level in nearly three months on Tuesday as British lawmakers were preparing to vote on the first phase of a plan to prevent Prime Minister Boris Johnson from entering the country. forward to a withdrawal from the European Union without an agreement.

The pound fell 0.7% to $ 1 1963, before falling to $ 1 1959, its lowest level since October 2016.