Euro Rises Above The Dollar

For the better part of ten years the Euro has been fighting to gain some ground on the American Dollar. On April 22, 2008, if finally did it, trading above $1.60 for the first time even among the rumours that have been circling around the international currency community that the European Central Bank may approve an interest rate hike. The bank would hike the rates in an effort to bring inflation back below its target rate of 2%.

The condition of the American economy has caused a higher demand for the Euro, which traded at its highest rate at $1.6019. While it fell back down to $1.5980 later in the day, it still set a record high. It wasn’t the

only thing that reached a record high. U.S. crude oil hit a record high of $119.00 CLc1. Analysts feel that the rise in oil prices is causing the drop in the American Dollar. The dollar is continuously trading low against all the other international currencies. The Euro may continue to have rising success as governments continue to minimize the impact of rising prices and inflation that is spreading across the world.